What are transfer-on-death (TOD) and payable-on-death (POD) registrations?

TOD and POD are simple beneficiary designations that let an account pass directly to a named person at your death, skipping probate. "Payable-on-death" applies to bank accounts (checking, savings, CDs); "transfer-on-death" applies to brokerage and investment accounts, and in many states to vehicles and even real estate via a TOD deed. While you're alive you keep full control — the beneficiary has no access or rights, and you can change them anytime. At death, the named person shows a death certificate and ID to claim the asset, often within days. It's free to set up at most institutions and far simpler than a trust for straightforward situations. Name a contingent beneficiary too, and remember these designations override your will, so keep them current after any major life change. They're an easy, no-cost way to cut down what goes through probate.