A transfer involves moving funds from like account to like account (i.e., IRA to IRA), directly from the current custodian to the new custodian. A rollover involves moving funds from a qualified plan, usually a 401(k), to a different type of qualified account, such as an IRA. When an indirect rollover occurs, funds are distributed from an account directly to the account owner. The account owner places the funds into a qualified account within 60 days.