Community engagement in the security system is increasingly becoming a norm as a result of the rising cases of insecurity in most communities in Nigeria. Though, this paper acknowledged the fact that such innovation is needed to address the predisposing factors threatening the internal security system, but it is not without challenges. The discourse, therefore, highlighted some of the strategies adopted and the overall benefits to the improvement of the security system as well as the challenges in the process. Some of these challenges include negative public perception about security personnel, poor mutual relationship, lack of trust and visionary schemes, poor intelligent gathering and poor funding among others. The study further emphasised on the far reaching consequences of these challenges on community development process in Nigeria. In view of this, the paper provided some suggestions as a way forward towards addressing the issues of community engagement in internal security in Nigeria.