Account Registration Types
Chapters in this video
- 0:00 Why registration dictates the flow of money at death
- 1:05 Individual accounts, probate, and the TOD escape hatch
- 1:53 Joint account universal rules: signatures, trades, and checks
- 2:33 JTWROS vs. TIC vs. TBE vs. community property
- 3:25 The TIC probate trap and memory hacks
- 4:35 Sole proprietorships and personal liability
- 5:13 General vs. limited partners and the liability shield
- 6:08 Corporate resolutions and unincorporated associations
- 7:32 Rapid-fire exam recap
What this video covers
- Why an individual account passes through probate at death unless a Transfer on Death (TOD) designation is in place
- The JTWROS vs. Tenants in Common (TIC) distinction: automatic survivorship and probate avoidance versus a deceased owner's share going to their estate
- Tenancy by the Entirety (TBE) and community property as married-only registrations, including creditor protection and the step-up in basis
- Universal joint account rules: all owners sign the new account form, any tenant can trade, but withdrawal checks must be payable to all owners
- Why a sole proprietor remains personally liable for business debts even when the account is opened under a "doing business as" (DBA) name
- Why general partners can trade but limited partners cannot, and how a limited partner placing a trade destroys their limited liability shield
- Why a corporate account requires a formal corporate resolution from the board, and why a verbal request from even the Chief Executive Officer (CEO) is not enough
Read the full lesson, free
This video's complete written lesson is free to read in the CertFuel app, no signup wall. When you're ready to drill the topic, the full Series 7 course adds adaptive practice questions and spaced-repetition flashcards.