<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF PALFED, INC. AND SUBSIDIARIES AS OF MARCH
31, 1996 AND THE RELATED CONSOLIDATED STATEMENT OF INCOME FOR THE THREE MONTHS 
THEN ENDED.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          DEC-31-1996
<PERIOD-START>                             JAN-01-1996
<PERIOD-END>                               MAR-31-1996
<CASH>                                           8,256
<INT-BEARING-DEPOSITS>                           5,193
<FED-FUNDS-SOLD>                                     0
<TRADING-ASSETS>                                     0
<INVESTMENTS-HELD-FOR-SALE>                     32,779
<INVESTMENTS-CARRYING>                          58,661
<INVESTMENTS-MARKET>                            59,041
<LOANS>                                        476,119
<ALLOWANCE>                                      8,195
<TOTAL-ASSETS>                                 623,553
<DEPOSITS>                                     505,429
<SHORT-TERM>                                    46,400
<LIABILITIES-OTHER>                              4,018
<LONG-TERM>                                     15,000
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                        52,706
<OTHER-SE>                                           0
<TOTAL-LIABILITIES-AND-EQUITY>                 623,553
<INTEREST-LOAN>                                 10,390
<INTEREST-INVEST>                                1,850
<INTEREST-OTHER>                                    75
<INTEREST-TOTAL>                                12,315
<INTEREST-DEPOSIT>                               6,002
<INTEREST-EXPENSE>                               7,262
<INTEREST-INCOME-NET>                            5,053
<LOAN-LOSSES>                                      339
<SECURITIES-GAINS>                                 495
<EXPENSE-OTHER>                                  4,546
<INCOME-PRETAX>                                  1,699
<INCOME-PRE-EXTRAORDINARY>                       1,699
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     1,092
<EPS-PRIMARY>                                    0.210
<EPS-DILUTED>                                    0.210
<YIELD-ACTUAL>                                   3.439
<LOANS-NON>                                      6,249
<LOANS-PAST>                                         0
<LOANS-TROUBLED>                                10,472
<LOANS-PROBLEM>                                 14,651
<ALLOWANCE-OPEN>                                 8,417
<CHARGE-OFFS>                                      733
<RECOVERIES>                                       172
<ALLOWANCE-CLOSE>                                8,195
<ALLOWANCE-DOMESTIC>                             8,195
<ALLOWANCE-FOREIGN>                                  0
<ALLOWANCE-UNALLOCATED>                          7,185