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Does Interactive Brokers Have DRIP?
Traders at Interactive Brokers can turn on automatic dividend reinvesting for stocks and mutual funds (but not ETFs). It’s really easy to enable this feature, although some customers may see trading fees for it.
Enroll in DRIP on IBKR
To turn on the Dividend Reinvestment Plan (DRIP) at Interactive Brokers, simply log into the website (other platforms can’t be used for this) and head to the Account Settings page, which can be found by clicking on the head-and-shoulders icon that appears in the upper-right corner of the site. On the Account Settings page, scroll down to the Trading section. Here, there is a link for Dividend Election.
After you click on the link for Dividend Election, you’ll get a form for DRIP settings. At the top, there are account-level settings for stocks and mutual funds. Each category can be set to reinvest or receive distributions as cash into the account’s core position. The setting applies to both dividends and capital gains. It’s not possible on the mutual-fund line to specify capital gains but not dividends or vice versa.
Below the account-level settings, there is a section for positions. Here, it’s possible to override the account-level settings by specifying a different reinvestment preference for a specific stock or mutual fund. By default, all positions follow the account settings. To change this feature, simply click select the radio button for “Reinvest” or “Receive Cash” for the specific holding in question.
Securities Eligible for DRIP on IBKR
Interactive Brokers’ DRIP service is only available for US- and UK-based accounts. Moreover, only US and Canadian preferred and common stocks are eligible for autopilot dividend reinvesting.
IBKR DRIP Fees
Commissions are charged for the necessary trades to make dividend reinvestments. For IBKR Lite customers, the commission is nil.
An automatic dividend reinvestment will be skipped if an account has a margin deficit and is prohibited from entering new positions.
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Updated on 8/5/2025.
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