Payable on Death (POD) Designation
Designation for bank accounts to pass directly to a beneficiary.
Detailed Explanation
A Payable on Death (POD) designation (or Totten Trust) is added to bank accounts (checking, savings, CDs). It ensures that the funds in the account are paid directly to the named beneficiary upon the account holder's death, bypassing the probate process. The beneficiary has no rights to the funds while the account holder is alive.