How much does it cost to enroll in a direct investment plan (a DRIP)?
There are two processes necessary to become enrolled in a DRIP. In order to qualify for the plan, in many cases you must first own at least a single share of the company stock (in some cases it is more than one share). In addition, that share must be registered in your name (and not in Street Name, which is the broker’s name). After you are shareholder, then you must contact the transfer agent to have an account with that company opened for you . Temper charges you a small mark up over the cost of the qualifying share(s), which is no more than 50 cents for the single share required. It also charges a one-time service fee to deal with the transfer agent on your behalf to get the account set up. These charges apply each time you enroll in a company plan.
