EXHIBIT 23.1
 
                       [KPMG PEAT MARWICK LLP LETTERHEAD]
 
                         INDEPENDENT AUDITORS' CONSENT
 
The Board of Trustees
Cortland Savings Bank:
 
We consent to the inclusion in the Amended Registration Statement on Form S-1 of
CNY Financial Corporation of our audit report dated March 19, 1998 on the
consolidated balance sheets of Cortland Savings Bank and Subsidiary as of
December 31, 1997 and 1996, and the related consolidated statements of income,
net worth and cash flows for each of the years in the three-year period ended
December 31, 1997.
 
We also consent to the reference to our firm under the heading "Experts" in the
prospectus.
 
/s/ KPMG Peat Marwick LLP
 
Syracuse, New York
August 3, 1998