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                                                                      Exhibit 23



                      [LETTERHEAD OF KPMG PEAT MARWICK LLP]


                         CONSENT OF INDEPENDENT AUDITORS

We consent to the incorporation by reference in the Registration Statements
(Nos. 333-23995 and 333-34521) on Form S-8 of BostonFed Bancorp, Inc. (the
"Company") of our report, dated January 21, 1999, related to the consolidated
balance sheets of the Company as of December 31, 1998 and 1997 and the related
consolidated statements of income, changes in stockholders' equity and cash
flows for each of the years in the three-year period ended December 31, 1998,
which report is incorporated by reference in the Annual Report on Form 10-K of
the Company for the year ended December 31, 1998.



                                                /s/ KPMG Peat Marwick LLP

Boston, Massachusetts
March 29, 1999