A Totten trust is a bank account in which the owner designates a beneficiary of the balance of the account (funds) that is payable on death (POD) of the account owner—also known as a POD account. POD accounts are widely used because they are an easy way to transfer assets at the death of the owner without going through probate proceedings—in other words, the beneficiary designation on the POD account makes the account a nonprobate asset, as it passes outside of probate.

The beneficiary designation made by a POD account owner is revocable and may be changed at any time before the death of the owner. The beneficiary designation confers no ownership interest in the account during the lifetime of the account owner.

The name Totten trust for what are now widely known as POD accounts came from a 1904 court case in New York in which the court approved the transfer of a bank account balance (through designation of a beneficiary) at the death of the owner. The court referred to the account with a beneficiary designation as a tentative trust—now known as a revocable trust.

In Pennsylvania, a Totten trust, also known as a Payable on Death (POD) account, is a type of bank account where the account owner designates a beneficiary to receive the funds remaining in the account upon the owner's death, bypassing the probate process. This designation is revocable, meaning the account owner can change the beneficiary at any time before their death. The beneficiary has no rights to the funds while the account owner is alive. Pennsylvania law recognizes these accounts as a simple way to transfer assets upon death without the need for probate, making them a popular estate planning tool. The concept of a Totten trust originated from a New York court case in 1904, but the principles apply broadly across states, including Pennsylvania, where such accounts are governed by state banking laws and regulations.