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CSCS Account: 6 Steps On How To Withdraw Your Unclaimed Dividends

Last Updated on August 14, 2021 by Ope Quadri

One of the most trending topics in Nigeria’s political landscape now is the plan of the Federal Government to borrow unclaimed dividends and monies in dormant bank accounts.

Can you stop the FG from taking that action? Definitely NO! Because the FG is invoking the Finance Act 2020.

While you think about your shares in banks, you can also consider an investment in corporate bonds, the guide is at:

But you can take a step right now to withdraw your unclaimed dividends. That’s the only way to prevent the government from withdrawing funds in your investment portfolio.

What does the Finance Act say regarding Unclaimed Dividends?

Under Part XII of the Act, it’s clearly stated that dividends were special debts due to and recoverable by shareholders within 12 years, and actionable only when declared.

The Act also says dividends that were unclaimed after 12 years should be included in the profits that should be distributed to the other shareholders of the company.

The Act says:

“Such unclaimed dividends transferred to the Unclaimed Funds Trust Fund shall be a special debt owed by the Federal Government to the shareholders and shall be available for claim by the shareholder at any time, pursuant to the aforementioned perpetual trust”

SEARP Says It’s Illegal To Borrow Unclaimed Dividends

The Socio-Economic Rights and Accountability Project (SERAP) described as illegal, the plan of the Buhari-led government to borrow unclaimed dividends and funds in dormant accounts.

The group’s deputy director, Kolawole Oluwadare, said:

“Borrowing unclaimed dividends and funds in dormant accounts amount to an illegal expropriation, and would hurt poor and vulnerable Nigerians who continue to suffer under reduced public services and ultimately lead to unsustainable levels of public debt.”

So, let’s get started!

If you’ve heard stocks professional mention CSCS account and you’re wondering what the hell it means, don’t worry we’ll guide you on how to trade stocks with it and how to use this account to check your shares online in real-time.

You can also use CSCS account to get back unclaimed dividends in an easy-to-follow process.

CSCS account stock market

We’ll also share with you list of active certified active stockbrokers in Nigeria who can professionally guide you on how to go about trade stocks and how to get back unclaimed dividends through the Central Securities Clearing System.

So, let’s get started, but first, you might want to ask…

Why do I need to open CSCS account?

Be it an investment in shares of quoted companies, or in unquoted shares traded at the OTC platform, or investment in government bonds; you need a CSCS Account.

This is because it is one of the requirements for investing in securities traded in the Nigerian capital market.

Directive from the Security and Exchange Commission (SEC)

A few years back, a deadline was issued by the Securities and Exchange Commission to completely do away with the issuing tangible share certificates and to keep all investment in shares electronically.

It is of interest to know that with a CSCS account, it is easier to monitor your investment portfolio.

Through this, your investment is safe and makes it easy for you to find shares in your name. Your dividends are deposited in your CSCS account if you have one.

But first…

What is CSCS?

CSCS is an acronym for Central Securities Clearing System. The Central Securities Clearing System Plc is a subsidiary of the Nigeria Stock Exchange (NSE).

In 1997, It started operations as the major financial infrastructure for the Nigerian capital market.

Hence, the CSCS is the Central Depository for the Nigerian capital market with the responsibility for storing, clearing and settlement of securities transactions.

Roles of CSCS in Nigeria

To be more specific, we can classify the roles of the Central Security Clearing System in the Nigerian capital market as follows:

  1. It is the central depository for share certificates of companies quoted on The Nigerian Stock Exchange.
  2. It serves as a Sub-registry for all quoted securities.
  3. It issues central securities identification numbers to shareholders; and
  4. It serves as the guardian for local and foreign instruments.
  5. For effective performance in this role, the CSCS functions through a digital depository system.
  6. To have a proper understanding of this concept, think about your relationship with your bank.

Whenever you make some money, you will be faced with the option of either keeping the cash with you (shelf, wallet, wardrobe) or depositing it in your bank account.

Also, for you to know the total amount of money you have in your bank account, you will need your statement of account from your bank.

And if there is any need for your money you simply withdraw it through any of the withdrawal channels.

So then what’s the purpose of keeping your money in your account rather than in your possession?

I believe you do so because it is more secured and it will probably yield profit over a period of time.

That is how it works when you acquire a company’s and you are given a share certificate as proof of your investment, now it’s in your discretion to either keep the share certificate in your possession or deposit it with the CSCS for safety.

How CSCS Operates

The CSCS keeps it secured digitally. Every other investment you may make via the secondary market will also go into your CSCS account.

Just like the banks, anytime you wish to know the number of shares you have, you request for your account statement with the CSCS.

On it will be shown the companies you invested in, the volume of shares you hold in each of these companies including the worth of the shares as at the date of issuing a statement.

The CSCS opens an account and assigns an account number to every shareholder who entrusts their shares with them. With this unique account number, you can acquire more shares, trade what you already have, or even transfer ownership to your dependent as you deem fit.

The CSCS was created to aid in strengthening the capital market and ensure investors have a better investing experience.

Prior to the establishment of the CSCS, there were inadequacies in the system which discouraged investors from investing.

For instance, delivery of share certificates could be between 3 months to 12 months thereabouts and settlement of transactions could take several weeks.

Verification of signatures was an enormous task and was the main reason why transactions were not enabled easily.

There were also cases where certificates were misplaced, lost and even stolen. Above all it was an easy way for dubious stockbrokers to sell investor’s shares in an unapproved manner.

The total market risk was very high due to undue delay in processing trades.  And these delayed transaction cycle gave opportunity for manipulations by operators.  Above all, there was general lack of transparency and trust in the market.

How to Open CSCS Account

  • Step 1: Check the list of accepted and approved stockbrokers on the official website of the Nigerian Stock Exchange and on the website of the Securities and Exchange Commission.
  • Step 2:Approach a registered stockbroker.
  • Step 3: Stockbroker will have to create an account for you with his firm to trail your Step 4: Your CSCS account will be processed after supplying the required documents (whether as an individual or corporate account, see below.)
  • Step 5:After a satisfactory review of the documents, your stockbroker will then prepare the account opening documents.
  • Step 6: Your stockbroker examines and forwards the documents to CSCS where the Step 7: Your CSCS account is ready you’ll then receive a trading account number and a Clearing House number (CHN).

Note: The Clearing House Number (CHN) links your account to the stockbroking house.

Types of CSCS Account in Nigeria

There are two types of CSCS account in Nigeria, they are:

  • Individual account
  • Corporate account

Requirements for Individual account CSCS account opening

  • Brokerage Account Opening Forms
  • A CSCS Account Opening Form
  • A Passport Photo
  • Utility Bill
  • A means of Identification (either of National ID, Drivers’ License, International Passport).

Requirements for corporate account CSCS account opening:

  • Brokerage Account Opening Forms
  • A CSCS Account Opening Form
  • A Passport Photo
  • Utility Bill
  • A means of Identification (either of National ID, Drivers’ License, International Passport).
  • Incorporation documents of the company.
  • Board resolution approving the opening of the investment account will be required.

Advantage of Special CSCS account?

The advantage of having special CSCS account is that you alone have control of your portfolio as the account is not linked to any stockbroking firm and with this, your stock broker will not be able to manipulate your account or transact on it without your approval.

The problem accompanying a regular cscs account is that your stockbroker has uninterrupted access to it due to the fact that it is tied to the stockbroking firm.

There have been instances where crooked stockbroking firms sell off stocks out of the portfolio of their customers without due authorization.

Subscribing to the CSCS Trade Alert is one sure way of knowing what happens in your account. With this you are notified anytime a transaction takes place in your account and that will let you know if your broker is fondling your account suspiciously.

Opening a CSCS account is a vital prerequisite for investing in the Nigerian Stock Exchange.

Here are some questions you might want to ask:

How can I check the value of my shares in Nigeria?

Answer: To check the value of your shares in Nigeria, you can go to the website of the Nigerian Stock Exchange and download daily stock prices or check CSCS official portal.

Once you know the price, multiply it by the number of shares on your share certificate and you can easily determine the value.

How can I find stockbroker in Nigeria for me open CSCS account?

Answer: Kindly head straight to NSE website, navigate through and click on dealing members. On this page you’d find the full list of certified of stockbrokers in Nigeria.

Active Stockbrokers in Nigeria:

  1. Supra Commercial Trust Company Limited
  2. Tellimer Capital Limited
  3. The Bridge Securities Limited
  4. Tiddo Securities Limited
  5. Tomil Trust Limited
  6. Topmost Securities Limited
  7. Absa Securities Nigeria Limited
  8. ARM Securities Limited
  9. Arthur Stevens Asset Management Limited
  10. Associated Asset Managers Limited
  11. Atlass Portfolio Limited
  12. Ava Securities Limited
  13. Bauchi Investment Corporation Securities Limited
  14. Belfry Investment & Securities Limited
  15. Bestworth Assets & Trust Limited
  16. Calyx Securities Limited
  17. Afrinvest Securities Limited
  18. Anchoria Investment & Securities Limited
  19. Apel Asset Limited
  20. APT Securities & Funds Limited
  21. City Code Trust & Invest Company Limited
  22. Compass Investments & Securities Limited
  23. Cordros Securities Limited
  24. FIS Securities Limited
  25. Foresight Securities & Investment Limited
  26. Forte Financial Limited
  27. Forthright Securities & Investments Limited
  28. Fortress Capital Limited
  29. Core Securities Limited
  30. Coronation Securities Limited
  31. Camry Securities Limited
  32. Capital Assets Limited
  33. Centre Point Investment Limited
  34. Century Securities Limited
  35. Chapel Hill Denham Securities Limited
  36. Chartwell Securities Limited
  37. Citi Investment Capital Limited
  38. Cowry Securities Limited
  39. Crossworld Securities Limited
  40. Crown Capital Limited
  41. CSL Stockbrokers Limited
  42. Deep Trust & Investment Limited
  43. De-Lords Securities Limited
  44. Dominion Trust Limited
  45. DSU Brokerage Services Limited
  46. Dunbell Securities Limited
  47. Dunn Loren Merrifield Securities Limited
  48. Dynamic Portfolio Limited
  49. EDC Securities Limited
  50. Edgefield Capital Management Limited
  51. EFG Hermes Nigeria Limited
  52. El-Elyon Alliance and Securities Limited
  53. Elixir Securities Limited
  54. Enterprise Stockbrokers Limited
  55. Equity Capital Solutions Limited
  56. Capital Bancorp Plc
  57. Capital Express Securities Limited
  58. Eurocomm Securities Limited
  59. Express Portfolio Services Limited
  60. Falcon Securities Limited
  61. FBC Trust & Securities Limited
  62. FBNQuest Securities Limited
  63. FCSL Asset Management Company Limited
  64. Fidelity Finance Company Limited
  65. Capital Trust Brokers Limited
  66. CardinalStone Securities Limited
  67. Cashcraft Securities Limited
  68. Cashville Investments & Securities Limited
  69. CDL Capital Markets Limited
  70. Financial Trust Company Nigeria Limited
  71. Finmal Securities Limited
  72. First Integrated Capital Management Limited
  73. FSDH Securities Limited
  74. FSL Securities Limited
  75. Funds Matrix & Asset Management Limited
  76. Fundvine Capital & Securities Limited
  77. Futureview Securities Limited
  78. Gem Assets Management Limited
  79. Gidauniya Invest & Sec Limited
  80. Global Asset Management (Nig) Limited
  81. Globalview Capital Limited
  82. Golden Securities Limited
  83. Greenwich Securities Limited
  84. Growth & Development Asset Management Limited
  85. Gruene Capital Limited
  86. GTI Securities Limited
  87. Harmony Investment & Securities Limited
  88. Heartbeat Investments Limited
  89. Hedge Securities & Investment Limited
  90. Heritage Capital Markets Limited
  91. ICMG Securities Limited
  92. Icon Stockbrokers Limited
  93. Imperial Assets Managers Limited
  94. Integrated Trust & Investments Limited
  95. Interstate Securities Limited
  96. Investment One Stockbrokers Int’l Limited
  97. Investors & Trust Company Limited
  98. Kapital Care Trust & Securities Limited
  99. Kedari Capital Limited
  100. Kinley Securities Limited
  101. Kofana Securities & Investment Limited
  102. Lambeth Capital Limited
  103. Lead Securities & Investment Limited
  104. Lighthouse Asset Management Limited
  105. Magnartis Finance & Investment Limited
  106. Mainstreet Bank Securities Limited
  107. Maxifund Investment & Securities Plc
  108. MBC Securities Limited
  109. Mega Equities Limited
  110. Meristem Stockbrokers Limited
  111. Midas Stockbrokers Limited
  112. Mission Securities Limited
  113. Molten Trust Limited
  114. Morgan Capital Securities Limited
  115. Mountain Investment & Securities Limited
  116. Network Capital Limited
  117. Networth Securities & Finance Limited
  118. Newdevco Investment & Securities Limited
  119. Nigerian International Securities Limited
  120. Nigerian Stockbrokers Limited
  121. Nova Finance & Securities Limited
  122. Osborne Capital Markets Limited
  123. PAC Securities Limited
  124. Peace Capital Markets Limited
  125. Pilot Securities Limited
  126. Pinefields Investment Services Limited
  127. PIPC Securities Limited
  128. Pivot Capital Limited
  129. Planet Capital Limited
  130. Portfolio Advisers Limited
  131. Premium Capital and Stockbrokers Limited
  132. Primewealth Capital Limited
  133. Prominent Securities Limited
  134. PSI Securities Limited
  135. Pyramid Securities Limited
  136. Qualinvest Capital Limited
  137. Quantum Zenith Securities & Investments Limited
  138. Rainbow Securities Limited
  139. Readings Investment Limited
  140. Regency Assets Management Limited
  141. Rencap Securities (Nig) Limited
  142. Resort Securities Limited
  143. Reward Investment & Service Limited
  144. RMB Nigeria Stockbrokers Limited
  145. Tower Securities & Investment Company Limited
  146. Trade link Securities Limited
  147. Traders Trust & Investment Company Limited
  148. Transworld Investment & Securities Limited
  149. Zion Stockbrokers & Securities Limited
  150. Trustbanc Capital Management Limited
  151. Rostrum Investment & Securities Limited
  152. Rowet Capital Management Limited
  153. Royal Crest Finance Limited
  154. Royal Guaranty & Trust Limited
  155. Sankore Securities Limited
  156. Santrust Securities Limited
  157. Securities & Capital Management Company Limited
  158. Securities Africa Financial Limited
  159. Security Swaps Limited
  160. Shalom Investment & Securities Limited
  161. Shelong Investment Limited
  162. Sigma Securities Limited
  163. Signet Investment & Securities Limited
  164. Skyview Capital Limited
  165. Smadac Securities Limited
  166. Solid Rock Securities & Investment Plc
  167. Spring Board Trust & Investment Limited
  168. Spring Trust & Securities Limited
  169. Stanbic IBTC Stockbrokers Limited
  170. Standard Union Securities Limited

How can I login to my CSCS account?

Answer: Head straight to cscs account login here

How do I update my CSCS account personal details?

Answer: To updated your CSCS account, you need to write a letter and address it to

The Managing Director,

CSCS PLC through your Stockbroker.

You need to pass through your stockbroker for security reasons.

What do I need for CSCS biometric capture system

Please present any of the following valid means of identification;

  • National ID Card,
  • International Passport,
  • Driver’s License,
  • Voter’s Card

We will need the following information

  • Your contact detail
  • Your CHN (Clearing House Number)
  • Name of Stock broker
  • Investors BVN.
  • Investor’s Bank account number.

How can I claim my dividends?

You would need to contact the registrar managing the shares of the company you hold.

How Much Does it Cost to Open A CSCS Account?

Opening a CSCS account is generally free of charge but your stockbroker may charge you a little amount to cover the administrative cost.

Some stockbroking firms may also want you to deposit a certain minimum amount for trading as a requirement for creating accounts for you.

You can also demand to open a Special Account.

Final thought:

If you already bought shares and the company has been acquired by another company, talk to your stockbroker on how to claim your dividends.

Do you want to track your shares in Nigeria? Follow the steps above or head straight to CSCS online registration portal to read more about this, alternatively, you can drop your question below.


2 thoughts on “CSCS Account: 6 Steps On How To Withdraw Your Unclaimed Dividends”

  1. Thanks for the wonderful and detailed write up .
    I am an investor of 25 years . I used to teach it at NYSC orientation camp but Nigerians cheat themselves with road side gossip on Capital market and a few bad eggs of stockbrokers .
    Thanks so much .

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