UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                       Washington, DC  20549


                             FORM 8-K



                         CURRENT REPORT



             PURSUANT TO SECTION 13 OR 15(d) OF THE
                 SECURITIES EXCHANGE ACT OF 1934



Date of Report (Date of earliest event reported) August 17, 2004


                     NICHOLAS FINANCIAL, INC.
      (Exact name of registrant as specified in its Charter)


 British Columbia, Canada           0-26680          8736-3354
(State or Other Jurisdiction of   (Commission    (I.R.S. Employer
 Incorporation  or  Organization)  File Number)  Identification No.)

  2454 McMullen Booth Road, Building C
    Clearwater, Florida                           33759
  (Address of Principal Executive Offices)      (Zip Code)


                          (727) 726-0763
       (Registrant's telephone number, Including area code)


                          Not applicable
      (Former name, former address and former fiscal year, if
                   changed since last report)


<PAGE> 2



Item 5.     Other Events

AUGUST  17,  2004  - Clearwater, Florida, - Nicholas  Financial,
Inc. (Nasdaq, NICK), announced today that the Board of Directors
has  approved the payment of a cash dividend of $0.10 per share,
payable  semi-annually. The first cash  dividend  of  $0.05  per
share will be payable to shareholders of record as of August 27,
2004, with a payment date of September 17, 2004. The second cash
dividend of $0.05 per share will be payable as determined by the
Board of Directors.


Item 7.   Financial Statements and Exhibits

Exhibit # Description

 99.2    Press release dated August 17, 2004, announcing the
          Board of Directors has approved the payment of a cash
          dividend of $0.10 per share, payable semi-annually.


<PAGE> 3

                           SIGNATURES

  Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this Report to be signed on
its behalf by the undersigned, hereunto duly authorized.


                    NICHOLAS FINANCIAL, INC.
                          (Registrant)


  Date: August 17, 2004         /s/ Peter L. Vosotas
                                Peter L. Vosotas
                                Chairman, President,
                                Chief Executive Officer
                                (Principal Executive Officer)


  Date: August 17, 2004         /s/ Ralph T. Finkenbrink
                                Ralph T. Finkenbrink
                                (Principal Financial Officer
                                 and Accounting Officer)


<PAGE> 4

Exhibit Index

Exhibit   Description

 99.2     Press release dated August 17, 2004, announcing the
          Board of Directors has approved the payment of a cash
          dividend of $0.10 per share, payable semi-annually.

<PAGE> 5

                          Exhibit 99.2

                      FOR IMMEDIATE RELEASE


Nicholas Financial, Inc.

Corporate Headquarters
2454 McMullen-Booth Rd.
Building C, Suite 501
Clearwater, FL 33759

Contact: Ralph Finkenbrink            NASDAQ: NICK
      Sr. Vice President, CFO         Website:www.nicholasfinancial.com
      Ph # - 727-726-0763



            Nicholas Financial Announces Semi-Annual
                         Cash Dividend


AUGUST  17,  2004  - Clearwater, Florida, - Nicholas  Financial,
Inc. (Nasdaq, NICK), announced today that the Board of Directors
has  approved the payment of a cash dividend of $0.10 per share,
payable  semi-annually. The first cash  dividend  of  $0.05  per
share will be payable to shareholders of record as of August 27,
2004, with a payment date of September 17, 2004. The second cash
dividend of $0.05 per share will be payable as determined by the
Board of Directors.

Founded  in  1985, with assets of $108,600,000 as  of  June  30,
2004,  Nicholas Financial is one of the largest publicly  traded
specialty  consumer finance companies based  in  the  Southeast.
The  Company  presently operates out of 32 branch  locations  in
both  the  Southeast and the Mid-West States.  The  Company  has
approximately 6,500,000 shares of common stock outstanding.  For
an index of Nicholas Financial Inc.'s news releases or to obtain
a     specific    release,    visit    our    web    site     at
www.nicholasfinancial.com.




Except  for  the  historical information contained  herein,  the
matters  discussed in this news release include  forward-looking
statements  that  involve  risks  and  uncertainties   including
competitive  factors, the management of growth, and other  risks
detailed from time to time in the Company's filings and  reports
with  the  Securities  and  Exchange  Commission  including  the
Company's  Annual Report on Form 10-K for the year  ended  March
31,  2004.  Such  statements are based on  the  beliefs  of  the
Company's  management  as  well  as  assumptions  made  by   and
information  currently available to Company  management.  Actual
events or results may differ materially.



                            ## End ##
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{"company-data": {"conformed-name": "NICHOLAS FINANCIAL INC", "cik": "0001000045", "assigned-sic": "6153", "irs-number": "593019317", "state-of-incorporation": "FL", "fiscal-year-end": "0331"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-26680", "film-number": "04980678"}, "business-address": {"street1": "2454 MCMILLEN BOOTH RD", "street2": "BLDG C 501 B", "city": "CLEARWATER", "state": "FL", "zip": "33759", "phone": "8137260763"}, "mail-address": {"street1": "2454 MCMULLEN BOOTH RD", "street2": "BLDG C SUITE 501B", "city": "CLEARWATER", "state": "FL", "zip": "33759"}}
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                       Washington, DC  20549

                             FORM 8-K

                         CURRENT REPORT

             PURSUANT TO SECTION 13 OR 15(d) OF THE
                 SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) August 17, 2004

                     NICHOLAS FINANCIAL, INC.
      (Exact name of registrant as specified in its Charter)

 British Columbia, Canada           0-26680          8736-3354
(State or Other Jurisdiction of   (Commission    (I.R.S. Employer
 Incorporation  or  Organization)  File Number)  Identification No.)

  2454 McMullen Booth Road, Building C
    Clearwater, Florida                           33759
  (Address of Principal Executive Offices)      (Zip Code)

                          (727) 726-0763
       (Registrant's telephone number, Including area code)

                          Not applicable
      (Former name, former address and former fiscal year, if
                   changed since last report)
2

Item 5.     Other Events

AUGUST  17,  2004  - Clearwater, Florida, - Nicholas  Financial,
Inc. (Nasdaq, NICK), announced today that the Board of Directors
has  approved the payment of a cash dividend of $0.10 per share,
payable  semi-annually. The first cash  dividend  of  $0.05  per
share will be payable to shareholders of record as of August 27,
2004, with a payment date of September 17, 2004. The second cash
dividend of $0.05 per share will be payable as determined by the
Board of Directors.

Item 7.   Financial Statements and Exhibits

Exhibit # Description

 99.2    Press release dated August 17, 2004, announcing the
          Board of Directors has approved the payment of a cash
          dividend of $0.10 per share, payable semi-annually.
3

                           SIGNATURES

  Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this Report to be signed on
its behalf by the undersigned, hereunto duly authorized.

                    NICHOLAS FINANCIAL, INC.
                          (Registrant)

  Date: August 17, 2004         /s/ Peter L. Vosotas
                                Peter L. Vosotas
                                Chairman, President,
                                Chief Executive Officer
                                (Principal Executive Officer)

  Date: August 17, 2004         /s/ Ralph T. Finkenbrink
                                Ralph T. Finkenbrink
                                (Principal Financial Officer
                                 and Accounting Officer)
4

Exhibit Index

Exhibit   Description

 99.2     Press release dated August 17, 2004, announcing the
          Board of Directors has approved the payment of a cash
          dividend of $0.10 per share, payable semi-annually.
5

                          Exhibit 99.2

                      FOR IMMEDIATE RELEASE

Nicholas Financial, Inc.

Corporate Headquarters
2454 McMullen-Booth Rd.
Building C, Suite 501
Clearwater, FL 33759

Contact: Ralph Finkenbrink            NASDAQ: NICK
      Sr. Vice President, CFO         Website:www.nicholasfinancial.com
      Ph # - 727-726-0763

            Nicholas Financial Announces Semi-Annual
                         Cash Dividend

AUGUST  17,  2004  - Clearwater, Florida, - Nicholas  Financial,
Inc. (Nasdaq, NICK), announced today that the Board of Directors
has  approved the payment of a cash dividend of $0.10 per share,
payable  semi-annually. The first cash  dividend  of  $0.05  per
share will be payable to shareholders of record as of August 27,
2004, with a payment date of September 17, 2004. The second cash
dividend of $0.05 per share will be payable as determined by the
Board of Directors.

Founded  in  1985, with assets of $108,600,000 as  of  June  30,
2004,  Nicholas Financial is one of the largest publicly  traded
specialty  consumer finance companies based  in  the  Southeast.
The  Company  presently operates out of 32 branch  locations  in
both  the  Southeast and the Mid-West States.  The  Company  has
approximately 6,500,000 shares of common stock outstanding.  For
an index of Nicholas Financial Inc.'s news releases or to obtain
a     specific    release,    visit    our    web    site     at
www.nicholasfinancial.com.

Except  for  the  historical information contained  herein,  the
matters  discussed in this news release include  forward-looking
statements  that  involve  risks  and  uncertainties   including
competitive  factors, the management of growth, and other  risks
detailed from time to time in the Company's filings and  reports
with  the  Securities  and  Exchange  Commission  including  the
Company's  Annual Report on Form 10-K for the year  ended  March
31,  2004.  Such  statements are based on  the  beliefs  of  the
Company's  management  as  well  as  assumptions  made  by   and
information  currently available to Company  management.  Actual
events or results may differ materially.

                            ## End ##