<TABLE> <S> <C>


<ARTICLE>                                            9
<LEGEND>
     This schedule contains summary financial information extracted from
Highlands Bankshares, Inc. Form 10QSB and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<MULTIPLIER>                                   1,000
       
<S>                             <C>
<PERIOD-TYPE>                   9-MOS
<FISCAL-YEAR-END>                              DEC-31-1998
<PERIOD-START>                                 JUL-01-1998
<PERIOD-END>                                   SEP-30-1998
<CASH>                                           4,593
<INT-BEARING-DEPOSITS>                             837
<FED-FUNDS-SOLD>                                11,725
<TRADING-ASSETS>                                     0
<INVESTMENTS-HELD-FOR-SALE>                     28,535
<INVESTMENTS-CARRYING>                           3,506
<INVESTMENTS-MARKET>                             3,644
<LOANS>                                        145,282
<ALLOWANCE>                                     (1,193)
<TOTAL-ASSETS>                                 202,878
<DEPOSITS>                                     178,248
<SHORT-TERM>                                        62
<LIABILITIES-OTHER>                              1,412
<LONG-TERM>                                        667
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                         2,734
<OTHER-SE>                                      19,755
<TOTAL-LIABILITIES-AND-EQUITY>                 202,878
<INTEREST-LOAN>                                  9,771
<INTEREST-INVEST>                                1,628
<INTEREST-OTHER>                                   319
<INTEREST-TOTAL>                                11,718
<INTEREST-DEPOSIT>                               5,757
<INTEREST-EXPENSE>                               5,780
<INTEREST-INCOME-NET>                            5,938
<LOAN-LOSSES>                                      200
<SECURITIES-GAINS>                                  (3)
<EXPENSE-OTHER>                                  4,015
<INCOME-PRETAX>                                  2,248
<INCOME-PRE-EXTRAORDINARY>                       2,248
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     1,479
<EPS-PRIMARY>                                     2.95
<EPS-DILUTED>                                     2.95
<YIELD-ACTUAL>                                    4.34
<LOANS-NON>                                         88
<LOANS-PAST>                                     1,390
<LOANS-TROUBLED>                                     0
<LOANS-PROBLEM>                                      0
<ALLOWANCE-OPEN>                                 1,370
<CHARGE-OFFS>                                      436
<RECOVERIES>                                        59
<ALLOWANCE-CLOSE>                                1,193
<ALLOWANCE-DOMESTIC>                             1,193
<ALLOWANCE-FOREIGN>                                  0
<ALLOWANCE-UNALLOCATED>                              0
        


</TABLE>