Probate is the court-supervised process for distributing a decedent’s assets, and it can be slow and expensive. For homeowners, a relatively new tool, the Transfer‑on‑Death (TOD) deed, offers a simple way to pass real estate directly to a beneficiary without probate.
Mississippi’s Real Property Transfer‑on‑Death Act allows owners to execute a deed now that names who will receive the property at death, while retaining full control during life.
A TOD deed looks similar to a standard deed but states that the transfer does not take effect until the owner dies. During the owner’s lifetime, the beneficiary has no ownership rights. The owner may revoke the deed, sign a new one, or transfer the property to someone else.
Let’s slow down for a second. To be effective in Mississippi, a TOD deed must contain the usual elements of a recordable deed, clearly state that it is a transfer on death, and be recorded in the land records before the owner dies. If those steps are missed, the deed may fail, and the property may still go through probate.
A couple in their sixties might use a TOD deed to leave a modest home to a single child without setting up a trust.
Here is the part people sometimes miss: a TOD deed only transfers real estate, not vehicles, bank accounts, or personal belongings. If the owner dies with debts, creditors may still reach the property.
When more than one person is listed, they typically share ownership equally. That sounds simple, until someone wants to sell and the others don’t. Disagreements like that aren’t rare. Also, a TOD deed doesn’t let anyone manage the property if the owner becomes mentally or physically unable to. That gap can create problems down the road.
Estate-planning tools are not one-size-fits-all, and rules differ by state. O’Brien Law Firm helps Mississippi clients decide whether a transfer-on-death deed fits into a broader plan or whether a will, trust, or other approach makes more sense. To talk through your options, you can call 866-934-8148 or 662-672-7619 for a confidential consultation.
Deciding to file for bankruptcy is rarely quick or comfortable. You may be worried about losing your home, car, or the basic things you use. Mississippi law does offer generous exemptions, but planning the wrong way can undo those protections and give a bankruptcy trustee reasons to question your case.
One of the biggest missteps is transferring property to friends or family right before filing. Under Mississippi’s version of the Uniform Fraudulent Transfer Act, a transfer can be considered fraudulent if it is done to delay or dodge creditors or if “badges of fraud” are present, such as moving assets to an insider or keeping control after the transfer. In real cases, this might look like signing your truck over to a cousin while you still drive it to work.
Running up credit cards or taking cash advances when you already plan to file creates a similar problem. Courts may decide those debts were never meant to be repaid and refuse to wipe them out. The same goes for paying back a relative or close friend while other creditors get nothing; a trustee can usually claw those payments back and treat them as unfair “favorites.”
Picture someone who, a month before filing, pays off a $4,000 loan to a sibling but leaves medical and credit card bills unpaid. That payment is likely to draw extra scrutiny.
On the other hand, there are lawful steps that often help. Mississippi exemptions allow you to protect up to $10,000 of personal property and up to $75,000 of equity in your primary residence, along with certain insurance and disability benefits. A person who uses extra savings to catch up on an exempt car loan is usually increasing equity in something they are allowed to keep, instead of leaving that cash exposed.
Spending extra money on urgent home repairs, medical needs, or groceries is generally fine before filing since these fall under common exemptions. For example, if you patch a roof or pay off a hospital bill, those choices typically hold up.
At O’Brien Law Firm, we help clients think through these decisions under Mississippi law. To speak confidentially, call us at 866-934-8148 or 662-672-7619. You don’t have to figure it out alone.
