Taking your DRIP to the company saves you commission and fees but requires you to do more of the record-keeping. DRIP Central sounds like an unaffectionate name I gave to a leaky apartment I rented after college. For our purposes, however, we're talking about a most thorough Dividend Reinvestment Plan site maintained by investment counselor and author Doug Gerlach . DRIP Central has links to several DRIP chat boards . The site's real motherlode, however, is an alphabetized directory of companies with DRIP plans and links to information thereon.
Some companies pay stock dividends rather than, or in addition to, cash dividends.
If a company pays a 5 percent stock dividend, that means that eligible shareholders receive one additional share of stock for each 20 they own. You can read this information in your daily paper's market tables. News Alert's Dividend area presents this information as daily news briefs and lets you search by stock symbol. Dividend checks are nice little rewards for keeping faith in the companies in which you've invested. Now, go ahead and buy that sweater.