Exhibit 5


                 [LETTERHEAD OF LUSE LEHMAN GORMAN APPEARS HERE]




                                                                  (202) 274-2000

December 22, 1997

The Boards of Directors
Peoples Bancorp, M.H.C.
Trenton Savings Bank FSB
134 Franklin Corner Road
Lawrenceville, New Jersey 08648

             Re:   Peoples Bancorp, Inc.
                   Common Stock Par Value $.01 Per Share
                   -------------------------------------

Gentlemen:

         You have  requested  the opinion of this firm as to certain  matters in
connection  with the offer and sale (the  "Offering") of Peoples  Bancorp,  Inc.
(the "Company") Common Stock, par value $.01 per share ("Common Stock"). We have
reviewed the Company's Certificate of Incorporation,  Registration  Statement on
Form S-1 (the  "Form  S-1"),  as well as  applicable  statutes  and  regulations
governing the Company and the offer and sale of the Common Stock.

         We are of the opinion that upon the declaration of effectiveness of the
Form S-1, the Common Stock,  when sold, will be legally  issued,  fully paid and
non-assessable.

         This  Opinion  has been  prepared  solely for the use of the Company in
connection  with the Form S-1.  We hereby  consent to our firm being  referenced
under the caption "Legal Opinions."

                                    Very truly yours,



                                    /s/ Luse Lehman Gorman Pomerenk & Schick
                                    --------------------------------------------
                                    LUSE LEHMAN GORMAN POMERENK & SCHICK
                                    A PROFESSIONAL CORPORATION