Get Apex Clearing Tod Form

The most important benefit of a TOD account is simplicity. Estate planning can help minimize the legal mess left after you die. Without it, the probate system can take over the distribution of your assets. It can also name an executor of your estate and pay off your remaining debts with your assets.

You can change or add beneficiaries to Ally Bank (Non-IRA) accounts any time by logging on to online banking, select Your Name (or Profile if you're on your mobile device) and choose Beneficiaries. You can also call us at 1-877-247-2559 or complete and mail the Change of Beneficiary form.

When you register your ownership, either with the stockbroker or the company itself, you make a request to take ownership in what's called beneficiary or transfer-on-death (TOD) form. The TOD beneficiary has no rights to the stock as long as you are alive.

In order to withdraw money from a TOD account, the beneficiary of the account will be required to prove that the original account holder has died. In doing so, they will be granted access to the securities or funds held in the account and can withdraw them as they please.

A beneficiary form states who will directly inherit the asset at your death. Under a TOD arrangement, you keep full control of the asset during your lifetime and pay taxes on any income the asset generates as you own it outright. TOD arrangements require minimal paperwork to establish.

Transfer on Death (TOD)

Your beneficiaries will not be required to pay income tax on the amount they receive through a TOD account, but may be required to pay income taxes on any interests and dividends produced by that account during the following year.

“Typically, TOD accounts are investment accounts that will transfer to the beneficiary when the account owner dies." Transfer on death accounts are similar to “payable on death" (POD) accounts, with both transferring assets to beneficiaries after the account owner dies.