8-K/A

                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                                  FORM 8-K / A

                                 CURRENT REPORT

                        PURSUANT TO SECTION 13 OR 15 (D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

          DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) May 5, 2003


                              MEGO FINANCIAL CORP.

                   ___________________________________________

             (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

               NEW YORK               1-8645              13-5629885
           (STATE OR OTHER          (COMMISSION          (IRS EMPLOYER
           JURISDICTION OF           FILE NUMBER)      IDENTIFICATION NO.)
              FORMATION)


            1645 VILLAGE CENTER CIRCLE, LAS VEGAS, NV          89134
               (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)     (ZIP CODE)

        REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE (702) 992-4200



ITEM  4.  CHANGES  IN  REGISTRANT'S  CERTIFYING  ACCOUNTANT


     The  Company's  Form  8-K dated April 14, 2003 reporting the resignation of
BDO  Seidman,  LLP as the Company's certifying accountant is revised and amended
in  its  entirety  as  follows:

     On  April 2, 2003, the auditors from BDO Seidman, LLP  ("BDO") met with the
Audit  Committee  of  the  Board  of  Directors  of  the  Company.  Based on the
financial results of the Company for the Company's year ended December 31, 2002,
Management  concurred  with  BDO's  proposed  conclusion  that a "going concern"
qualification  would  be  required.  There  were  no  accounting  disagreements.

     Prior  to  the  date  BDO  met  with the Company's Audit Committee, BDO had
expressed  its  serious  concerns  to the Company about the issuance of numerous
checks  drawn  against  accounts  with  insufficient  funds.  BDO inquired as to
whether  the  Company had instituted appropriate procedures to stop the issuance
of  insufficient  checks.

     On  April  8, 2003, the Company received a letter from BDO also dated April
8,  2003,  stating  in its entirety:  "This will confirm that the client-auditor
relationship  between  Mego  Financial Corp. (Commission File Number 1-8645) and
BDO  Seidman,  LLP has ceased."  BDO was engaged in December 2002 to conduct the
audit of the Company's financial statements for its year ended December 31, 2002
and  has  not  rendered  any  reports  on  the  Company's financial statements.

     On  that  same date, the Company was advised by BDO that BDO had received a
memorandum  containing allegations of financial irregularities from a previously
terminated  employee  whose  allegations,  if true, would be a reportable event.

     After  being  advised  by BDO of the allegations of the terminated employee
contained  in  the  memorandum  and  BDO's  resignation,  the  Company's  Audit
Committee,  acting  in  a specially called meeting on April 9, 2003, launched an
investigation  into  the  allegations  contained  in  the memorandum.  The Audit
Committee, through its counsel, engaged L.J. Soldinger Associates, LLC to review
the  allegations  made  by  the  terminated  employee.

     The  Audit  Committee  has  selected Singer Lewak Greenbaum & Goldstein LLP
("SLGG")  as  the  Company's  new  independent  accountant as of April 28, 2003.
Prior  to  such  date,  the  Company did not consult with SLGG regarding (i) the
application  of  accounting  principles  to  a  specified  transaction,  either
completed  or proposed except in connection with a proposed acquisition that was
not  finalized, (ii) the type of audit opinion that might be rendered by SLGG on
the  Company's  financial  statements,  or  (iii)  any other matter that was the
subject  of  a  disagreement  between the Company and its auditor (as defined in
Item  304(a)  (1)  (iv)  of  Regulation  S-K  and its related instructions) or a
reportable  event  (as  described  in  Item  304(a)  (1) (v) of Regulation S-K).


ITEM  7.  FINANCIAL  STATEMENTS  AND  EXHIBITS


     A  copy  of the response from BDO Seidman, LLP is attached as Exhibit 03-8.


                                   SIGNATURES

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

                                   MEGO  FINANCIAL  CORP.

                                   By:  /s/  Floyd  W.  Kephart
                                   ----------------------------
                                   Floyd  W.  Kephart
                                   Chief  Executive  Officer


Dated:  May  5,  2003

EX-3.8

                          [BDO Seidman, LLP Letterhead]

May 1, 2003

Securities and Exchange Commission
450 5th Street NW.
Washington D 20549
Gentlemen:

We  have  been furnished with a copy of the response to Item 4 of Form 8-K/A for
the  event  that  occurred  on April 14, 2003, to be filed by our former client,
Mego  Financial Corp. ("Mego"). We agree with the statements made in response to
that  Item  insofar  as  they  relate  to  our  Firm.

However, we make no comment on the statements about the engagement of
L.J. Soldinger Associates, LLC to review the allegations or the selection of
Singer Lewak Greenbaum & Goldstein LLP as the Company's new independent
auditors.

Very truly yours,

/s/ BDO Seidman, LLP

BDO Seidman, LLP