AMERICAN BUSINESS FINANCIAL SERVICES, INC.
                ANNOUNCES RELOCATION TO CENTER CITY PHILADELPHIA

         Move Represents Largest Job Influx to Philadelphia In 20 Years


Bala Cynwyd, PA, December 9, 2002 -- American Business Financial Services, Inc.
(ABFS; Nasdaq: ABFI), today announced that it will move its national
headquarters from Montgomery County to the Wanamaker Building in Center City
Philadelphia, representing the City's largest single influx of new jobs in 20
years. The Company said that it expects its workforce to grow to more than 1,000
over the next couple of years.

ABFS had been considering other sites in Center City and suburban Philadelphia,
including Montgomery County, PA and Camden County, NJ for its headquarters. The
Company signed an 11-year lease and will occupy more than 230,000 square feet on
the 6th, 7th, 8th, and 12th floors of the Wanamaker Building. ABFS currently
anticipates its move will take place during the summer of 2003, upon completion
of renovations.

Anthony J. Santilli, Chairman and Chief Executive Officer of ABFS, said, "We had
a lot of options to consider in Pennsylvania and other states. However, we have
a young dynamic workforce that is ideally matched to the exciting and ongoing
revitalization of Center City. That excitement, coupled with high-quality space
at a historic and prestigious location and the positive business environment
being created by the City and State made the choice of this vibrant urban center
our first choice."

The initial workforce in the summer of 2003 will number more than 700, making it
the largest influx of jobs into Philadelphia in the last 20 years, according to
the City's Commerce Department.

Philadelphia Mayor John F. Street said, "This move is further evidence of the
value of efforts to lure businesses being made by the Mayor's office, the
Commonwealth of Pennsylvania and City Council, as well as a tribute to all those
who make Philadelphia the place to be in the region."

The Wanamaker Building, built in 1911 and redeveloped in 1991, was the
architectural and engineering marvel of its era. The property was fully restored
in 1991 to meet the changing needs of retail and office users. Today, the
Wanamaker Building is considered one of America's architecturally distinguished
retail and business centers, and is managed by Amerimar Enterprises. Gerald
Marshall, President and CEO of Amerimar said, "ABFS is an important addition to
the City, the neighborhood and our building. Considering that they truly had
many choices, we're very gratified that they selected us."




The Company was conceived at the Philadelphia kitchen table of Anthony and
Beverly Santilli and officially founded in 1988. It has been a publicly traded
company since 1997 when its common stock was listed on the NASDAQ Stock Market
(symbol: ABFI). ABFS has been in Bala Cynwyd, PA for approximately 14 years.

The Company serves consumers and small business entrepreneurs who often don't
have access to traditional lending programs. The Company has become increasingly
active in local community efforts and has recently made a commitment to consumer
education initiatives through an alliance with Consumer Credit Counseling
Service of Delaware Valley, Inc., to help the CCCS fund its debt counseling and
other educational initiatives. Stephen M. Giroux was recently named to the Board
of Directors of the CCCS. In addition, Chairman and CEO Anthony J. Santilli, was
recently named Chairman of the Nominations Committee of the Operation Good
Neighbor Foundation, a non-profit organizing uniting corporations, businesses
and individuals to work with grassroots neighborhood organizations that are
addressing the needs of those less fortunate. The Foundation works closely with
President Bush's White House Office of Faith-Based and Community Initiatives.

"Our commitment to the City and all the communities we serve is fundamental to
our business approach and very much a part of our corporate culture. We believe
that, more than just jobs, we'll bring that commitment to Center City
Philadelphia," Santilli said.

American Business Financial Services, Inc. is a financial services company
operating predominantly in the eastern and central portions of the United
States. The Company originates business purpose loans and first and second
mortgage loans through a combination of channels, including a national
processing center located at its centralized operating office in Bala Cynwyd,
Pennsylvania, a regional processing center in Roseland, New Jersey, and several
retail branch offices

CONTACTS:

ABFS: Keith Bratz, VP-Corporate Communications, 610-617-7475; Kate Allison, Alta
Communications, 215-790-7816; Bruce Boyle, 610-649-3604

City of Philadelphia: James Cuorato, Commerce Director, 215-683-2000

Amerimar Enterprises, Inc.: Stephen J. Gleason, Executive Vice President,
215-893-6042