DNS and dialup

[Michael Morris]

I recently ordered DSL for home and since I am a software engineer and 
wanted to get some Linux experience, thought I would install a Linux system 
to host mail and http services for my family.  Built the system, installed 
RH 7 got the internal network up with DNS resolving internal addresses.  No 
real problems here yet.  Since I had a few weeks before the DSL was 
scheduled to be installed I thought it might save time if I configured IP 
masquerading with the current dial-up account.  Dial-up configuration was 
no problem, connecting using the Gnome dialer worked well on the Linux 
system but the IP masquerading from the clients only worked using IP 
addresses..  Using wvdial, there was no DNS resolution to the net.

Since the Gnome dialer gets information including DNS addresses through 
DHCP, that's why it worked on the Linux system.  There is obviously 
something I am not understanding here.  After switching the local DNS to a 
forwarding only server, still no success.  I have searched all the HOW-TO's 
I can find, but so far have not found one that fills in the missing clue.

Can someone help here?