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

2 months 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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Noel

19 days ago

Individual registration is definitely subject to probate, so not the best choice.

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Graham

21 days ago

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

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Talia

1 months ago

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

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Kris

1 months ago

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

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Vanda

2 months ago

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

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Haydee

2 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

1 months ago

D) Joint tenants with right of survivorship (JTWROS)

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Margot

1 months ago

C) Transfer-on-death (TOD)

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Haydee

1 months 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

29 days ago

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

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Rhea

1 months ago

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

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Alonso

1 months ago

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

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Julie

1 months ago

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

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Delsie

3 months ago

I think the answer is Individual.

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Darci

3 months ago

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

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Kristofer

2 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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