I'm going to attempt to explain this as clearly as possible, however since I don't know what I'm doing I apologize if you find this confusing....here I go....

I recently signed up for a shared hosting account without a nameserver. When I acquired about creating a custom nameserver I was told that it would cost me an extra $10 for a nameserver and only my hosting company could create it upon request. Not wanting to pay the extra $10 a month pretty accepted the fact that I would be using the host nameserver (ex. ns1.hostcompany.com).

Later I stumbled on a website that showed me how to setup a custom nameserver using eNom.com. I have a eNom.com account and by using my host's two IP addresses I created two custom nameservers (ex. ns1.mydomainname.com). Everything is fine except for.....

When I went to www.internic.com and typed in my host IP address both my host company's nameserver and my nameserver appeared, which I don't mine however it seemed to me that this might not be legal or......I guess I felt like I was stealing my host company's IP address. If this is the case, I would of course delete my custom nameserver.

Can anyone give me some advice on this matter. Thank you!

Ehh.. there is nothing that is really wrong with what you are doing. Our name server IPs have hundreds of vanity name servers (as you call custom name servers). We have an open policy with this though and tell our users to do this.

But if they have a policy against it then they can disable your domain which would just negate everything you are trying to do and more.

I have never been sure why anyone would mind unless they don't want to loose name recognition.

But if you are worried about it I would just pay the $10.
A good night sleep is always worth $10.

I wonder if you are confusing Nameservers with a Dedicated IP?

Only Reseller accounts need or are provided, with Personalized Nameservers. A Shared Hosting account can be provided with a Dedicated IP. With a Dedicated IP the Hoster can setup reverse DNS.

Reverse DNS means that someone looking up the IP address will see your Domain name, but the Nameservers will still be for the ones provided by the Hoster. With a Reseller account and Personalized Nameservers, both the IP and Nameservers will show your Domain name.

If you do not have a Reseller account but trying to make it look like the Nameservers are yours, you will most likely be in Violation of any Hoster's TOS and have your account Terminated.

I suggest you immediately change things back and talk to your Hoster further on the situation. Mind you, if they want to charge $10.00 a month for a Dedicated IP and/or Personalized Nameservers, that is a very high cost in today's Market. Lots of Hosters will provide and have a one-time cost or a much smaller monthly fee -- usually $1.00 or $2.00 per month.

maybe it was $10 one-time-payment, instead of $10 per month.

you could try a dns company like zoneedit.com or dnsmadeeasy.com