How can a stock account be frozen?

According to the "Notice on Carrying out Dormancy Work for Existing One-person Multiple Accounts" issued by China Securities Clearing Company on May 23, the dormancy work for three or more multiple accounts opened by the same investor has been initiated. After the market closes on June 23, China Clearing will put these accounts into hibernation. And these confirmed dormant accounts will start on June 26. The dormant accounts will be frozen and no transaction orders can be made.

Since during actual operation, the securities company cannot determine whether your account belongs to the fourth or above account, so as long as the following three conditions are met, it will be included in this dormant account management:

One: The balance of the securities account is 0;

Two: The balance of the associated capital account does not exceed RMB 100;

Three: There has been no occurrence for more than one consecutive year recently Transactions (based on June 9, 2017).

Starting last week, many brokerages have been reminding customers with dormant accounts via phone calls or text messages to ask them whether to keep the account.

“Last week, China Clearing Corporation Limited provided us with a list of pre-dormant accounts, allowing us to check whether they meet the dormancy conditions.” said the general manager of the brokerage business department of a securities firm to be listed, from the 13th to the 21st. During this period, if the pre-dormant account does not meet the above three requirements, it needs to be removed.