EXHIBIT 23



                          CONSENT OF KPMG PEAT MARWICK






                                                                      EXHIBIT 23





                          Independent Auditors' Consent





The Administrative Committee
Downey Savings and Loan Association, F.A.
Employees' Retirement and Savings Plan:

We consent to the incorporation by reference in the Registration  Statement (No.
333-30483)  on Form S-8 of Downey  Financial  Corp.  of our report dated June 5,
1998 relating to the statement of net assets  available for plan benefits of the
Downey Savings and Loan Association, F.A. Employees' Retirement and Savings Plan
as of and for the year ended December 31, 1997, and all related schedules, which
report  appears in the December 31, 1997,  Annual  Report on Form 11-K of Downey
Savings and Loan Association, F.A. Employees' Retirement and Savings Plan.

/s/   KPMG Peat Marwick LLP


Los Angeles, California
June 26, 1998