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                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    Form 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934


                Date of Report (Date of earliest event reported
                                  June 19, 1998



                         First Alliance Mortgage Company
            (on behalf of First Alliance Mortgage Loan Trust 1998-2)
            --------------------------------------------------------
             (Exact name of registrant as specified in its charter)


          California                   333-44585-02            95-2944875
 -----------------------------    ------------------------   ------------------
 (State or Other Jurisdiction     (Commission File Number)   (I.R.S. Employer
       of Incorporation)                                     Identification No.)



       177305 Von Karman Avenue
          Irvine, California                                        97614-6203
 ---------------------------------------                           -----------
(Address of Principal Executive Offices)                           (Zip Code)


        Registrant's telephone number, including area code (714) 224-8400
                                                           --------------


                                    No Change
         -------------------------------------------------------------
         (Former name or former address, if changed since last report)


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Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits:


         8.1        Tax Opinion and Consent of Arter & Hadden LLP

        23.1        Consent of Coopers & Lybrand L.L.P., independent auditors 
                    of Financial Security Assurance Inc.





                                   SIGNATURES
 
 
 
         Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                           FIRST ALLIANCE MORTGAGE 
                                           COMPANY, as Company



                                           By: /s/ Brian Chisick
                                               ------------------------------
                                               Name:  Brian Chisick
                                               Title: Chief Executive Officer



Dated:  June 19, 1998





                                  EXHIBIT INDEX


Exhibit No.    Description                                             Page No.
- -----------    -----------                                             --------

     8.1       Tax Opinion and Consent of Arter & Hadden LLP

    23.1       Consent of Coopers & Lybrand L.L.P., independent
               auditors of Financial Security Assurance Inc.