transfer on death

Transfer On Death (TOD)

The process of changing title of a security from one name to another upon the death of one of the titleholders.

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transfer on death

A legal agreement that, upon the death of its maker, passes ownership of certain assets to beneficiaries while bypassing probate. A transfer-on-death agreement generally results in assets passing with minimal delay and may result in reduced probate fees. Assets passed through this agreement remain subject to estate taxation.