EXHIBIT 23


                  CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS


As independent public accountants, we hereby consent to the incorporation 
of our report dated January 15, 1999 included in Merchants Bancshares, 
Inc.'s Annual Report on Form 10-K for the year ended December 31, 1998 into 
Merchants Bancshares, Inc.'s previously filed Registration Statement No. 
333-41051 on Form S-3, Registration Statement No. 333-34869 on Form S-8, 
Registration Statement No. 333-34871 on Form S-8 and Registration Statement 
No. 333-18845 on Form S-8, as amended by Post Effective Amendment No. 1 on 
Form S-8/A.






Boston, Massachusetts
March 18, 1999