Exhibit 23.7      
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                           CONSENT OF MERRILL LYNCH

    
     We hereby consent to the use of our opinion letter dated December ___, 1996
to the Board of Directors of Webster Financial Corporation included as Appendix
B to the Proxy Statement which forms a part of the Registration Statement on
From S-4 relating to the proposed merger of DS Bancor, Inc. with and into
Webster Financial Corporation and to the references to such opinion in such
Proxy Statement under the caption "Opinion of Webster Financial Advisor".  In
giving such consent, we do not admit and we hereby disclaim that we come within
the category of persons whose consent is required under Section 7 of the
Securities Act of 1933, as amended, or the rules and regulations of the
Securities and Exchange Commission thereunder, nor do we thereby admit that we
are experts with respect to any part of such Registration Statement within the
meaning of the term "experts" as used in the Securities Act of 1933, as amended,
or the rules and regulations of the Securities and Exchange Commission
thereunder.     

         
         
         
         


                                              
                                          MERRILL LYNCH, PIERCE, FENNER & SMITH
                                           INCORPORATED     


                                             
                                          By:  /s/ Michael F. Barry 
                                               --------------------------------
                                               Michael F. Barry
                                               Director-Merrill Lynch & Co.
                                               Investment Banking Group     

    
December 16, 1996     

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