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Direct Purchase Plan

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A plan that enables interested first-time individual investors to purchase a company's stock directly from the company or without the direct intervention of a broker. The administrator also ensures the safekeeping of the shares by registering them directly on the books of the company. Eliminates the need for shareholders to hold on to physical certificates.

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Direct purchase plans give you the option of reinvesting your dividends, which is a must for DRIPs.

BUYING INTO COMPANY; DIRECT STOCK PURCHASING ON THE RISE by Daily News (Los Angeles, CA)

Exxon has a very user-friendly direct purchase plan.

Zacks.com Announces That Charles Carlson Highlights the Following ... by Business Wire

But according to Business Week magazine, ``Any fees in a direct purchase plan are almost always lower that what you'll pay at a brokerage firm.

INTERNET COMPANY AIMS TO HELP PEOPLE BECOME DIRECT INVESTORS by Daily News (Los Angeles, CA)

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