Transfer on Death

Transfer on Death is a form of account registration which allows individuals to pass the assets in their IBKR account directly to another person or entity upon their death without having to go through probate.  This registration option is solely available to individual accounts held by US residents (no joint or IRA accounts).

To elect this option, eligible account holders will need to do the following:

1. Log in to Client Portal and select the Settings and Account Settings sections and click the gear icon next to the words "Account Inheritance" in the Configuration section.

2. You will need to specify your Primary Beneficiaries (from 1 to 6 whose percentage of ownership must total 100%)

3. You may elect to specify your Contingent Beneficiaries (from 1 to 6 whose percentage of ownership must total 100%).  If you do not elect any Contingent Beneficiaries you will need to specify how you wish the interests of any Primary Beneficiaries that predecease you shall be treated (either pass back to the account holder's estate or pass to the remaining Primary Beneficiaries).

4) In the event any Primary or Contingent Beneficiary is a minor you will be required to designate an authorizer signer.

5)  You will then be provided with a link to a pre-populated Transfer on Death Agreement which requires formal signature and notarization.  Instructions are also provided for submitting  the form to IB's New Accounts department.  If the account holder is married and living in a community property state, spousal consent is required if the spouse is not named as the primary beneficiary (it is the responsibility of the account holder to make this determination).

6) Once the agreement has been returned and reviewed for approval, the registration will be complete and the account title amended (e.g. Jane Doe, TOD).  Statements will also reflect this new account title.

7) Account holders may remove the TOD request prior to approval or revoke once approved (both via online option).  A new agreement will need to be completed, signed and returned prior to the revocation becoming effective. In order for a revocation request to be effective, it must be received and approved by IBKR prior to the account holder's death.

8) In the event of the death of the account holder, the beneficiary will need to complete and remit the notarized Transfer on Death - Beneficiary Distribution Form to IBKR along with a certified copy of the death certificate.  If the beneficiary does not already have an account with IBKR they will need to open one in order to transfer the percent of assets as indicated in the Transfer on Death Agreement.