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Joint owner with survivorship
Old 12-26-2015, 10:06 AM   #1
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Joint owner with survivorship

My wife and I have CD's listing us as joint owners with survivorship. If we were both suddenly killed together in a car accident for example would my kids be able to receive them with death certificates?
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Old 12-26-2015, 10:08 AM   #2
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Wouldn't they become part of your estate and be paid to your heirs according to the provisions in your wills?
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Old 12-26-2015, 10:16 AM   #3
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Wouldn't they become part of your estate and be paid to your heirs according to the provisions in your wills?
Yes, we do have wills so I guess you are right there. I'm turning 60 and just reviewing my beneficiaries. Thanks
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Old 12-26-2015, 11:21 AM   #4
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Agreed. The CD's become assets of the estate.
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Old 12-26-2015, 11:35 AM   #5
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AFAIK when a couple dies 'at the same time', the elder of the two is deemed to have died first; so if the younger member inherits the entire estate then it's his/her will that determines who gets what. Not a problem if both wills have identical heirs...otherwise/otherwise.
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Old 12-26-2015, 11:55 AM   #6
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That is why I like revocable living trusts. Title the asset in the name of the trust.
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Old 12-26-2015, 12:08 PM   #7
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My wife and I have CD's listing us as joint owners with survivorship. If we were both suddenly killed together in a car accident for example would my kids be able to receive them with death certificates?
Are your children listed as beneficiaries on the CDs? Wouldn't that supercede the will and avoid delays? That is how we are set up based on advice from the atty that did our wills.
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Old 12-26-2015, 04:10 PM   #8
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Are your children listed as beneficiaries on the CDs? Wouldn't that supercede the will and avoid delays? That is how we are set up based on advice from the atty that did our wills.
If there is a POD in place, and the account allows it. Most PODs are pretty limited but if done right are an important part of estate planning.
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Old 12-26-2015, 05:22 PM   #9
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If there is a POD in place, and the account allows it. Most PODs are pretty limited but if done right are an important part of estate planning.
So....what's the difference between a POD and designating a beneficiary? I have started to research this and what I have found (along with advice of Estate Atty) assures me that having spouse as primary and children as contingent beneficiaries will bypass probate and satisfy our needs.

EDIT: I agree with the statements that without a POD/beneficiary agreement, the assets become part of the estate and subject to the probate process (which I would prefer to avoid).
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Old 12-26-2015, 06:36 PM   #10
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So....what's the difference between a POD and designating a beneficiary?
Well, it depends on the type of account, and the legalities of such an account. To us lay people, it seems the same. Have coffee with a lawyer to learn more.

I will say in my experience, changing a beneficiary is a matter of filing a beneficiary form for the account. Changing a POD/TOD is a matter of re-titling the account. At a bank, this usually results in more paperwork, identification, etc. Anyone named in the title is "closer" to the money compared to a beneficiary. That's my lay man way to say it.

Legalzoom describes it this way: Transfer on Death Vs. Beneficiary | LegalZoom: Legal Info
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Old 12-26-2015, 06:52 PM   #11
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It should be noted that a tod account at a bank has a distinct fdic insurance from a regular account.
The effort required for a TOD account at a bank may depend on the bank in question, it was just a matter of sitting down with the account person and telling them what to do to add a tod beneficiary.
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Old 12-27-2015, 11:04 AM   #12
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AFAIK when a couple dies 'at the same time', the elder of the two is deemed to have died first; so if the younger member inherits the entire estate then it's his/her will that determines who gets what. Not a problem if both wills have identical heirs...otherwise/otherwise.
Yes, both wills have identical heirs......so no probate?
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Old 12-27-2015, 11:11 AM   #13
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Yes, both wills have identical heirs......so no probate?
Don't confuse having a will with avoiding probate. Back to your original question: your CDs must be properly titled with the proper TOD/POD to avoid probate.
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Old 12-27-2015, 03:51 PM   #14
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So....what's the difference between a POD and designating a beneficiary?
While it depends on state law (and there are significant differences in different states) I think the primary advantage is speed of getting the funds to the beneficiary. A POD designation bypasses probate which can be a lengthy process depending on the state and the complexity of the estate.

But in the end it is probably six of one and half a dozen of the other.
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Old 12-27-2015, 04:13 PM   #15
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Yes, both wills have identical heirs......so no probate?
A will by its very nature implies probate. You have to go to court to get the executor appointed and the nature of the court supervision depends on the state (why you need a will in the state you are resident in). Typically you have to wait for the death certificate to be issued, and then the lawyer will make arrangements for the court appearance. The will be admitted and the executor authorized to do things.
It can take a couple of weeks for the death certificate to issue btw.
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Old 12-27-2015, 07:55 PM   #16
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I was the executor on my parents' estate. They kept their business very simple, and I had been a check signer on all of their accounts for years. Their individual wills were mirror images of each other, with the real estate going to the surviving spouse.

My mother was the last survivor, and I paid all hospital bills, hospital bills. income taxes etc. All life insurance and retirement accounts had my sister and I as 50-50 beneficiaries.

In many states, a will doesn't have to be probated unless there is real estate or other assets to be transferred/sold. The probate judge is essentially giving the executor the authority to sign for the estate liquidating those assets. If my mother had earlier sold her house, I wouldn't have to have gone through probate even.

But any way it goes, you want any asset, including cars and real estate, titled in 2 names with rights of survivorship.

Those with more complicated and substantial estates need to get legal advice from an attorney very experienced in estates. Not all attorneys are capable of giving such advice.
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