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Re: zimbler, dividend plays 

By: Zimbler0 in POPE | Recommend this post (2)
Mon, 22 Aug 11 6:06 AM | 89 view(s)
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Msg. 41689 of 65535
(This msg. is a reply to 41661 by DGpeddler)

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DGPeddler> I, like snapits, thought you were having
the company use the dividends to buy more of their
stock. That is my definition of dividend reinvestment.


DGPeddler,
That is the essence of 'dividend reinvestment'.
And, it is a decent way to build wealth.
With these plans, you get old enough, you need
money, you 'tell them' to send you a check instead
of reinvesting the dividend.

But, I've always liked getting that check in my hands
and then deciding whether to 'blow it'; reinvest it
in the company that sent it to me, or invest it
elsewhere. So, I've always marked the enrollment
form 'send me the dividend'. Many companies like
direct deposit . . . I don't even have to take it to
the bank.

Zim.




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Mad Poet Strikes Again.


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The above is a reply to the following message:
Re: zimbler, dividend plays
By: DGpeddler
in POPE
Sun, 21 Aug 11 5:58 PM
Msg. 41661 of 65535

Zim, I am glad you explained that. I, like snapits, thought you were having the company use the dividends to buy more of their stock. That is my definition of dividend reinvestment. I have always gotten my dividend checks and put them in savings, up until I retired. Then I used the money for things I needed so that I did not have to pay part down and the rest in payments. Buy with cash.


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