Start A DRIP:
In order to qualify for a DRIP plan an individual is required to
already own stock in the company they are interested in. If
the stock is already owned, the individual must have the
physical stock certificate in their possession. If they do not,
the certificate can be easily obtained from the broker with
which the stock is held or from the transfer agent. With the
stock certificate in hand, the next step is to open the DRIP
account directly with the company. The best way to learn more
about the DRIP plan you're interested in along with any share
transfer requirements is to contact the company by either phone
or mail. DripAdvisor has provided a list of every company that
currently sponsors a DRIP plan along with the necessary contact
information. The best course of action is to contact the
company you're interested investing in and request a prospectus
along with the appropriate DRIP account forms. These documents
will detail the specifics on the plan.
If an individual wants to participate in a DRIP plan, but does
not already own stock in the company, the obvious step to take
is to gain ownership in the company. The easiest way to buy
stock is to open an account with a broker and simply purchase
stock. Once the purchase of the stock is completed, the
individual can request that their broker send to them the
stock certificate, whereupon the individual is ready to
enroll in the DRIP plan.
