Ask Matt: Do you need a broker to buy stock?

Q: Do you need a broker to buy stock?

A: Brokerage firms are begging for your business - offering low commissions and other services. But you don't need one to buy stock.

Many big companies, including General Electric and Procter & Gamble, allow consumers to buy stock directly through them. For investors who just want to load up on specific individual stocks and who plan to reinvest dividends back into the companies' stocks, these plans can be an option.

These companies offer stock through their transfer agents, which are firms hired to manage a stock holders. These transfer agents have created sophisticated Web sites that let investors find companies offering direct stock offers and help them buy or sell. Computershare, one of the largest transfer agents, allows investors to look at stocks available to buy at www-us.computershare.com/Investor/Company. You can enter the name or ticker symbol of the company to see if the direct stock purchase program is available. Check companies' investor relations Web sites for directions on buying stock direct. Here's the deal: these programs aren't free. Brokerage commissions have gotten so competitive, it's often less costly to buy through a broker.

Paste BN markets reporter Matt Krantz answers a different reader question every weekday. To submit a question, e-mail Matt at mkrantz@usatoday.com or on Twitter @mattkrantz.