A Dividend Reinvestment Plan allows investors to purchase stock in a company directly. But to participate in a DRIP, you generally need to already own at least a share of a company before you can start buying stock.
The Web contains many sites devoted to DRIPs. If you’d like to check out how a DRIP works and its role as an investment tool, here are a few sites worth visiting.
McClatchy-Tribune News Service
DRIP ADVISOR: drips/index.asp Offers overview of DRIP investing, benefits, limitations and tax considerations.
DRIP CENTRAL: Features a complete online guide to DRIP investing.
: Discusses DRIP share basics, tax considerations, dividends and splits.
INVESTMENT FAQ: .html Serves up a good overview of DRIP investing and a list of DRIP resources.
