Finra Exam SIE Topic 6 Question 5 Discussion

Actual exam question for Finra's SIE exam

Question #: 5
Topic #: 6

[All SIE Questions]

Which of the following account registration types is subject to probate upon the death of the account owner?

AIndividual

BIrrevocable trust

CTransfer-on-death (TOD)

DJoint tenants with right of survivorship (JTWROS)

Show Suggested Answer

Suggested Answer: A

Accounts held individually are subject to probate, which is the legal process of administering the decedent's estate. Probate determines the distribution of assets according to the deceased's will or state intestacy laws.

A is correct because individual accounts require probate to transfer assets.

B is incorrect because irrevocable trusts bypass probate.

C is incorrect because TOD accounts allow direct transfer of assets to named beneficiaries without probate.

D is incorrect because JTWROS accounts transfer ownership to the surviving account holder automatically.

by Thea at Feb 06, 2025, 05:44 PM

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Melodie

26 days ago

Probate, schmobate! I'm gonna go with JTWROS and let my loved ones duke it out later. Keeps things interesting, you know?

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Graham

5 hours ago

I'm not sure, but I think Irrevocable trust also bypasses probate.

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Talia

13 days ago

I think TOD might be a better option, avoids probate altogether.

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Kris

15 days ago

I agree, JTWROS is the way to go. Let them figure it out later!

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Vanda

1 months ago

I'm not sure, but I think Irrevocable trust accounts are also subject to probate.

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Haydee

1 months ago

I agree with Delsie, because Individual accounts are subject to probate.

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Stephaine

2 months ago

Irrevocable trust? More like 'irremovable headache' if you ask me. I'll pass on that one.

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Broderick

12 days ago

D) Joint tenants with right of survivorship (JTWROS)

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Margot

17 days ago

C) Transfer-on-death (TOD)

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Haydee

20 days ago

A) Individual

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Yaeko

2 months ago

Individual account? Sounds like a recipe for family drama after I'm gone. I'll go with the TOD instead.

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Darrin

8 days ago

Joint tenants with right of survivorship (JTWROS) is also a good choice to avoid probate.

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Rhea

10 days ago

Definitely, TOD avoids probate and makes things easier for your loved ones.

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Alonso

15 days ago

I agree, I think Transfer-on-death (TOD) is a better option.

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Julie

17 days ago

Individual account? Sounds like a recipe for family drama after I'm gone.

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Delsie

2 months ago

I think the answer is Individual.

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Darci

2 months ago

Probate? No thanks, I'll take the JTWROS option and avoid that whole mess.

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Kristofer

1 months ago

I think I'll go with the Transfer-on-death option just to be safe.

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Lore

2 months ago

I agree, JTWROS is definitely the way to go to avoid probate.

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