FORM 4
    (x) Check this box if no longer
        subject to Section 16.  Form 4
        or Form 5 obligations may contiue.
        See Instruction 1(b).

      U.S. SECURITIES AND EXCHANGE COMMISSION       _____________________
              WASHINGTON, D.C.  20549              |   OMB APPROVAL      |
    STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP   |_____________________|
                                                   |OMB NUMBER: 3235-0287|    
                                                   |EXPIRES:             |
                                                   | SEPTEMBER 30, 1998  |
    Filed pursuant to Section 16(a) of the         |ESTIMATED AVERAGE    |
      Securities Exchange Act of 1934,             |BURDEN HOURS         |
     Section 17(a) of the Public Utility           |PER RESPONSE 0.5     |
       Holding Company Act of 1935                 |_____________________|
    or Section 30(f) of the Investment
           Company Act of 1940
   ____________________________________________________________________________
   1. Name and Address of Reporting Person
 
      William D. Birch
      1010 Fifth Avenue
      New York, New York 10028
   ____________________________________________________________________________
   2. Issuer Name and Ticker or Trading Symbol          
      Financial Services Acquisition Corporation 
      (Common Stock: "FSAT"; Warrants: "FSATW")
   ____________________________________________________________________________
   3. IRS OR SOCIAL SECURITY NUMBER OF REPORTING PERSON (VOLUNTARY)
 
   ____________________________________________________________________________
   4. Statement for Month/Year                
      August, 1996
   ____________________________________________________________________________
   5. If Amendment, Date of Original (Month/Year)                      
      September 10, 1996
   ____________________________________________________________________________
   6. Relationship of reporting person to Issuer (Check all applicable)
    (   ) DIRECTOR
    (   ) 10% OWNER   
    (   ) OFFICER (GIVE TITLE BELOW)
    ( x ) OTHER (SPECIFY TITLE BELOW)
          Former Director*
   ____________________________________________________________________________
   7. Individual, or Joint/Group Filing (Check all applicable)
    ( x ) Form filed by One Reporting Person
    (   ) Form filed by More than One Reporting Person

   ===========================================================================
   TABLE I
   Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
   ____________________________________________________________________________
   1. Title of Security (Instr. 3)
      Common Stock, $.001 par value
   ____________________________________________________________________________
   2. Transaction Date (Month/Day/Year)
 
   ____________________________________________________________________________
   3. Transaction Code (Instr. 8)
 
   ____________________________________________________________________________
   4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5)

   ____________________________________________________________________________
   5. Amount of Securities Beneficially Owned at End of Month (Instr. 3 and 4)
      109,000
   ____________________________________________________________________________
   6. Ownership Form: Direct(D) or Indirect(I) (Instr. 4)
      (D)
   ____________________________________________________________________________
   7. Nature of Indirect Beneficial Ownership (Instr. 4)
 
   ____________________________________________________________________________
   Reminder:  Report on a separate line for each class of securities
              beneficially owned directly or indirectly.
   ============================================================================
   TABLE II
   Derivative Securities Acquired, Disposed of, or Beneficially Owned
   (e.g., Puts, Calls, Warrants, Options, Convertible securities)
   ____________________________________________________________________________
   1. Title of Derivative Security (Instr. 3)
      Redeemable Common Stock Purchase Warrants
   _________________________________________________________________________
   2. Conversion or Exercise Price of Derivative Security
      $5.00
   _________________________________________________________________________
   3. Transaction Date (Month/Day/Year)
   ____________________________________________________________________________
   4. Transaction Code (Instr. 8)
   ____________________________________________________________________________
   5. Number of Derivative Securities Acquired (A) or Disposed of (D)
      (Instr. 3, 4, and 5)
   ____________________________________________________________________________
   6. Date Exercisable and Expiration Date (Month/Day/Year)
      Each Warrant is currently exercisable
      Expiration Date 11/30/01
   ____________________________________________________________________________
   7. Title and Amount of Underlying Securities (Instr. 3 and 4)
   ____________________________________________________________________________

   8. Price of Derivative Securities (Instr. 5)
   ____________________________________________________________________________
   9. Number of Derivative Securities Beneficially Owned at End of Month
      (Instr. 4)
      268,000
   ____________________________________________________________________________
   10. Ownership Form of Derivative Security: Direct(D) or Indirect(I)
      (Instr. 4)
      (D)
____________________________________________________________________________
   11. Nature of Indirect Beneficial Ownership (Instr. 4)

   ____________________________________________________________________________
   EXPLANATION OF RESPONSES:

   *    The Reporting Person resigned as a director of the Issuer, effective as
        of August 16, 1996

                                                 
 /s/ William D. Birch                                 9/11/96         
 **  SIGNATURE OF REPORTING PERSON                     DATE         


   ___________________

 **  INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACTS CONSTITUTE FEDERAL
     CRIMINAL VIOLATIONS.  SEE 18 U.S.C. 1001 AND 15 U.S.C. 78FF(A).