SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                                   FORM 10-Q

               QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
                        SECURITIES EXCHANGE ACT OF 1934

/X/  Quarterly report pursuant to Section 13 or 15(d) of the Securities
     Exchange Act of 1934

For the quarterly period ended June 30, 1998

/ /  Transition report pursuant to Section 13 or 15(d) of the Securities
     Exchange Act of 1934

For the transition period from _____ to _____

Commission file number:  0-19232

                       Fidelity Leasing Income Fund VII, L.P.
_______________________________________________________________________________
           (Exact name of registrant as specified in its charter)

         Delaware                                       23-2581971
_______________________________________________________________________________
     (State of organization)               (I.R.S. Employer Identification No.)

3 North Columbus Boulevard, Philadelphia, Pennsylvania  19106
_______________________________________________________________________________
       (Address of principal executive offices)                  (Zip code)

                                (215) 574-1636
_______________________________________________________________________________
              (Registrant's telephone number, including area code)

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the regis-
trant was required to file such reports), and (2) has been subject to such fil-
ing requirements for the past 90 days.

Yes    X    No _____










                                Page 1 of 12


 Part I:  Financial Information
Item 1:  Financial Statements

                     FIDELITY LEASING INCOME FUND VII, L.P.

                                   BALANCE SHEETS

                                       ASSETS

                                          (Unaudited)              (Audited)  
                                            June 30,              December 31,
                                             1998                     1997    
                                         ____________             ____________

Cash and cash equivalents                $   684,555               $ 3,185,012 

Accounts receivable                           75,054                   440,830

Due from related parties                      65,485                   444,897

Equipment under operating leases
(net of accumulated depreciation
of $7,007,200 and $6,817,100,
respectively)                              7,512,619                 6,214,378

Net investment in direct financing leases  1,397,907                   295,319

Equipment held for sale or lease             634,000                    39,958

                                         ___________               ___________

       Total assets                      $10,369,620               $10,620,394
                                         ===========               ===========

                       LIABILITIES AND PARTNERS' CAPITAL
Liabilities:

     Lease rents paid in advance         $   132,409               $   101,304

     Accounts payable-equipment                 -                        7,050

     Accounts payable and
      accrued expenses                        54,432                   100,885

     Due to related parties                   22,752                    42,321
                                         ___________               ___________
       Total liabilities                     209,593                   251,560

Partners' capital                         10,160,027                10,368,834
                                         ___________               ___________
       Total liabilities and
        partners' capital                $10,369,620               $10,620,394
                                         ===========               ===========

The accompanying notes are an integral part of these financial statements.
                                        2

                      FIDELITY LEASING INCOME FUND VII, L.P.

                             STATEMENTS OF OPERATIONS

                                   (Unaudited)

                                 Three Months Ended       Six Months Ended
                                       June 30                June 30
                                 1998          1997       1998          1997
                                 ____          ____       ____          ____

Income:
     Rentals                  $  927,732   $1,219,245  $1,957,114    $2,420,325
     Earned income on direct 
      financing leases            14,095          568      19,621         1,194
     Interest                     19,922       49,345      45,364        92,035
     Gain on sale of equipment, 
      net                         25,404       30,300      26,320        79,465
     Other                         7,162        2,423       8,352         4,233
                              __________   __________  __________    __________

                                 994,315    1,301,881   2,056,771     2,597,252
                              __________   __________  __________    __________

Expenses:
     Depreciation                841,105      994,947   1,749,361     1,993,323
     Write-down of equipment to
      net realizable value        91,000       20,737     154,700        31,362
     General and administrative   23,143       29,206      62,529        49,031
     General and administrative 
      to related party            74,577       70,972     131,930       131,796
     Management fee to 
      related party               41,368       61,026      87,058       121,143
                              __________   __________  __________    __________

                               1,071,193    1,176,888   2,185,578     2,326,655
                              __________   __________  __________    __________

Net income (loss)             $  (76,878)  $  124,993  $ (128,807)   $  270,597
                              ==========   ==========  ==========    ==========

Net income (loss) per equivalent
  limited partnership unit    $    (2.56)  $     4.03  $    (4.28)   $     8.85
                              ==========   ==========  ==========    ==========

Weighted average number of
  equivalent limited 
  partnership units outstand-
  ing during the period           29,742       30,647      29,796       30,238
                              ==========   ==========  ==========   ==========


The accompanying notes are an integral part of these financial statements.

                                       3


                     FIDELITY LEASING INCOME FUND VII, L.P.

                         STATEMENT OF PARTNERS' CAPITAL

                    For the six months ended June 30, 1998

                                   (Unaudited)

                                General     Limited Partners
                                Partner     Units      Amount        Total    
                                _______     _____      ______        _____    

Balance, January 1, 1998       $(30,664)   65,449   $10,399,498   $10,368,834

Cash distributions                 (800)     -          (79,200)      (80,000)

Net loss                         (1,288)     -         (127,519)     (128,807)
                               ________    ______   ___________   ___________
Balance, June 30, 1998         $(32,752)   65,449   $10,192,779   $10,160,027
                               ========    ======   ===========   =========== 





























The accompanying notes are an integral part of these financial statements.



                                       4



                     FIDELITY LEASING INCOME FUND VII, L.P.
                            STATEMENTS OF CASH FLOWS
               For the six months ended June 30, 1998 and 1997
                                  (Unaudited)
                                                      1998          1997   
                                                      ____          ____   
Cash flows from operating activities:
     Net income (loss)                            $ (128,807)   $  270,597 
                                                  __________    __________ 
     Adjustments to reconcile net income (loss)
      to net cash provided by operating
      activities:
     Depreciation                                  1,749,361     1,993,323 
     Write-down of equipment to net
      realizable value                               154,700        31,362 
     Proceeds from direct financing leases, net
      of earned income                                75,104         5,154 
     Gain on sale of equipment, net                  (26,320)      (79,465)
     (Increase) decrease in accounts receivable      365,776        93,116 
     (Increase) decrease in due from related parties 379,412        (7,978)
     Increase (decrease) in lease rents paid
      in advance                                      31,105         6,206 
     Increase (decrease) in accounts payable-
      equipment                                       (7,050)         -    
     Increase (decrease) in accounts payable and
      accrued expenses                               (46,453)       (8,887)
     Increase (decrease) in due to related parties   (19,569)       20,477 
                                                  __________    __________ 
                                                   2,656,066     2,053,308 
                                                  __________    __________ 
        Net cash provided by operating activities  2,527,259     2,323,905 
                                                  __________    __________ 
Cash flows from investing activities:
     Acquisition of equipment                     (3,927,849)   (2,615,307)
     Investment in direct financing leases        (1,177,693)      -       
     Proceeds from sale of equipment                 157,826        89,196 
                                                  __________     __________
        Net cash used in investing activities     (4,947,716)   (2,526,111)
                                                  __________    __________ 
Cash flows from financing activities:
     Distributions                                   (80,000)     (370,000)
                                                  __________     __________

        Net cash used in financing activities        (80,000)     (370,000)
                                                  __________     __________

     Decrease in cash and cash equivalents        (2,500,457)     (572,206)

     Cash and cash equivalents, beginning
       of period                                   3,185,012     2,983,264 
                                                  __________     __________
     Cash and cash equivalents, end of period     $  684,555    $2,411,058 
                                                  ==========    ========== 
The accompanying notes are an integral part of these financial statements. 
                                        5

                     FIDELITY LEASING INCOME FUND VII, L.P.

                         NOTES TO FINANCIAL STATEMENTS

                                June 30, 1998

                                 (Unaudited)

The accompanying unaudited condensed financial statements have been prepared
by the Fund in accordance with Generally Accepted Accounting Principles,
pursuant to the rules and regulations of the Securities and Exchange Commis-
sion.  In the opinion of Management, all adjustments (consisting of normal 
recurring accruals) considered necessary for a fair presentation have been
included.  

1.  EQUIPMENT LEASED

    Equipment on lease consists primarily of equipment under operating leases.
    The lessees have agreements with the manufacturer to provide maintenance 
    for the leased equipment.  The Fund's operating leases are for initial 
    lease terms of 3 to 60 months.  Generally, operating leases will not 
    recover all of the undepreciated cost and related expenses of its rental 
    equipment during the initial lease terms and the Fund is prepared to 
    remarket the equipment in future years.  Fund policy is to review quarterly 
    the expected economic life of its rental equipment in order to determine 
    the recoverability of its undepreciated cost.  Recent and anticipated 
    technological developments affecting computer equipment and competitive 
    factors in the marketplace are considered among other things, as part of 
    this review.  In accordance with Generally Accepted Accounting Principles, 
    the Fund writes down its rental equipment to its estimated net realizable 
    value when the amounts are reasonably estimated and only recognizes gains 
    upon actual sale of its rental equipment.  As a result, $154,700 and 
    $31,362 was charged to write-down of equipment to net realizable value for 
    the six months ended June 30, 1998 and 1997, respectively.  Any future 
    losses are dependent upon unanticipated technological developments 
    affecting the computer equipment industry in subsequent years.

    The Fund also has equipment leased under the direct financing method in
    accordance with Statement of Financial Accounting Standards No. 13.  This
    method provides for recognition of income (the excess of the aggregate 
    future rentals and estimated additional amounts recoverable upon expiration 
    of the lease over the related equipment cost) over the life of the lease
    using the interest method.

    The net investment in direct financing leases as of June 30, 1998 is as
    follows:

       Net minimum lease payments to be received         $1,591,000
       Less unearned income                                 193,000
       Add expected future residuals                           -   
                                                         __________
                                                         $1,398,000
                                                         ==========

                                       6



                     FIDELITY LEASING INCOME FUND VII, L.P.

                    NOTES TO FINANCIAL STATEMENTS (Continued)

1.  EQUIPMENT LEASED (Continued)

    The future approximate minimum rentals to be received on noncancellable
    operating leases and direct financing leases as of June 30, 1998 are as 
    follows:

                                                                Direct   
         Years Ending December 31          Operating           Financing 
         ________________________          _________           _________ 

                   1998                   $1,594,000         $  205,000
                   1999                    2,522,000            410,000
                   2000                    1,185,000            401,000
                   2001                        -                269,000
                   2002                        -                252,000
             Thereafter                        -                 54,000
                                          __________         __________
                                          $5,301,000         $1,591,000
                                          ==========         ==========

2.  RELATED PARTY TRANSACTIONS

    The General Partner receives 5% or 2% of gross rental payments from equip-
    ment under operating leases and full pay-out leases, respectively, for
    administrative and management services performed on behalf of the Fund.
    Full pay-out leases are noncancellable leases for which the rental payments
    due during the initial term of the lease are at least sufficient to recover 
    the purchase price of the equipment, including acquisition fees.  This 
    management fee is paid monthly only if and when the Limited Partners have 
    received distributions for the period from January 1991 through the end of 
    the most recent quarter equal to a return for such period at a rate of 12% 
    per year on the aggregate amount paid for their units.

    The General Partner may also receive up to 3% of the proceeds from the sale
    of the Fund's equipment for services and activities to be performed in con-
    nection with the disposition of equipment.  The payment of this sales fee 
    is deferred until the Limited Partners have received cash distributions 
    equal to the purchase price of their units plus a 12% cumulative 
    compounded priority return.  Based on current estimates, it is not expected 
    that the Fund will be required to pay this sales fee to the General
    Partner.









                                   7


                     FIDELITY LEASING INCOME FUND VII, L.P.

                    NOTES TO FINANCIAL STATEMENTS (Continued)

2.  RELATED PARTY TRANSACTIONS (Continued)


    Additionally, the General Partner and its parent company are reimbursed by 
    the Fund for certain costs of services and materials used by or for the
    Fund except those items covered by the above-mentioned fees.  Following is 
    a summary of fees and costs of services and materials charged by the
    General Partner or its parent company during the three and six months ended 
    June 30, 1998 and 1997:

                               Three Months Ended      Six Months Ended
                                     June 30               June 30
                               1998          1997      1998        1997
                               ____          ____      ____        ____

    Management fee           $41,368      $61,026    $ 87,058    $121,143  
    Reimbursable costs        74,577       70,972     131,930     131,796  


    The Fund maintains its checking and investment accounts in Jefferson
    Bank, a subsidiary of JeffBanks, Inc., in which the Chairman of
    Resource America, Inc. serves as a director.

    Amounts due from related parties at June 30, 1998 and December 31, 1997
    represent monies due the Fund from the General Partner and/or other
    affiliated funds for rentals and sales proceeds collected and not yet re-
    mitted to the Fund.

    Amounts due to related parties at June 30, 1998 and December 31, 1997
    represent monies due to the General Partner for the fees and costs men-
    tioned above, as well as, rentals and sales proceeds collected by the Fund
    on behalf of other affiliated funds.

3.  CASH DISTRIBUTION

    There were no cash distributions made to partners for the three months 
    ended June 30, 1998.













                                  8


                FIDELITY LEASING INCOME FUND VII, L.P.

Item 2:  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
         RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

    Fidelity Leasing Income Fund VII, L.P. had revenues of $994,315 and
$1,301,881 for the three months ended June 30, 1998 and 1997, respectively,
and $2,056,771 and $2,597,252 for the six months ended June 30, 1998 and 1997,
respectively.  Rental income from the leasing of equipment accounted 
for 93% and 94% of total revenues for the second quarter of 1998 and 1997, 
respectively and 95% and 93% of total revenues for the six months ended 
June 30,1998 and 1997, respectively.  The decrease in revenues is primarily 
attributable to a decrease in rental income.  In 1998, rental income decreased 
by approximately $1,232,000 because of equipment which came off lease and was 
re-leased at lower rental rates or sold.  This decrease, however, was mitigated 
by an increase of approximately $769,000 of rental income realized from 
equipment purchases made since June 30, 1997 as well as rental income 
recognized on 1997 equipment purchases for which a full six months of rents was 
earned in 1998 and only a portion of the six months was earned in 1997.  
Additionally, the Fund had a net gain on sale of equipment of $26,320 for the 
six months ended June 30, 1998 compared to a net gain of $79,465 for the same 
period in 1997 which also accounts for the decrease in total revenues in the 
current year.  Furthermore, interest income decreased because of lower cash 
balances available for investment by the Fund in 1998.  This decrease also 
contributed to the overall decrease in revenues in 1998.

    Expenses were $1,071,193 and $1,176,888 for the three months ended June 30,
1998 and 1997, respectively, and $2,185,578 and $2,326,655 for the six 
months ended June 30, 1998 and 1997, respectively.  Depreciation expense 
comprised 79% and 85% of total expenses during the quarter ended June 30, 1998 
and 1997, respectively and 80% and 86% of total expenses during the six months 
ended June 30, 1998 and 1997, respectively.  The decrease in expenses is 
primarily related to the decrease in depreciation expense resulting from 
equipment which came off lease or terminated and sold since June 1997.  
Management fee to related party also decreased proportionate to the decrease in 
rental income which also accounts for the decrease in total expenses in 1998.  
However, the increase in write down of equipment to net realizable value 
reduced the overall decrease in expenses in 1998.  Based upon the quarterly 
review of the recoverability of the undepreciated cost of rental equipment, 
$154,700 and $31,362 was charged to operations to write down equipment to its 
estimated net realizable value during the six months ended June 30, 1998 and 
1997, respectively.  Any future losses are dependent upon unanticipated 
technological developments affecting the computer equipment industry in 
subsequent years.  








                                   9


                 FIDELITY LEASING INCOME FUND VII, L.P.

Item 2:  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
         RESULTS OF OPERATIONS (Continued)

RESULTS OF OPERATIONS (Continued)


    The Fund's net income (loss) was ($76,878) and $124,993 for the three 
months ended June 30, 1998 and 1997, respectively, and ($128,807) and $270,597 
for the six months ended June 30, 1998 and 1997, respectively.  The earnings 
(loss) per equivalent limited partnership unit, after earnings (loss) allocated 
to the General Partner, were ($2.56) and $4.03 based on a weighted average 
number of equivalent limited partnership units outstanding of 29,742 and 30,647 
for the three months ended June 30, 1998 and 1997, respectively.  The earnings 
(loss) per equivalent limited partnership unit, after earnings (loss) allocated 
to the General Partner, were ($4.28) and $8.85 based on a weighted average 
number of equivalent limited partnership units outstanding of 29,796 and 30,238 
for the six months ended June 30, 1998 and 1997, respectively.

    The Fund generated $829,823 and $1,110,377 of cash from operations, for 
the purpose of determining cash available for distribution, for the quarter 
ended June 30, 1998 and 1997, respectively.  For the six months ended June 30, 
1998 and 1997, the Fund generated $1,748,934 and $2,215,817 of cash from 
operations.  It is the Fund's policy to make cash distributions in accordance 
with the net income earned by the Fund.  There were no cash distributions made 
to partners for the first six months of 1998.  However, $80,000 of cash 
distributions were paid during the first quarter of 1998 for the months of 
October and November of 1997.  For financial statement purposes, the Fund 
records cash distributions to partners on a cash basis in the period in which
they are paid.  For the three months ended June 30, 1997, the Fund distributed 
9% of cash available from operations during the quarter and 5% of this amount 
subsequent to June 30, 1997.  For the six months ended June 30, 1997, the Fund 
distributed 11% of cash available from operations during the period and 2% of 
this amount subsequent to June 30, 1997.

ANALYSIS OF FINANCIAL CONDITION

    During the six months ended June 30, 1998 and 1997, the Fund purchased
equipment of $3,927,849 and $2,615,307, respectively.  The Fund also invested 
$1,177,693 in direct financing leases during the six months ended June 30, 
1998.  The Fund will continue to purchase equipment with cash available from 
operations which is not distributed to partners.

    The cash position of the Fund is reviewed daily and cash is invested on a
short-term basis.

    The Fund's cash from operations is expected to continue to be adequate to
cover all operating expenses and contingencies during the next twelve months 
period.



                                 10



Part II:  Other Information


                      FIDELITY LEASING INCOME FUND VII, L.P.

                                 June 30, 1998

Item 1.  Legal Proceedings:  Inapplicable.

Item 2.  Changes in Securities:  Inapplicable.

Item 3.  Defaults Upon Senior Securities:  Inapplicable.

Item 4.  Submission of Matters to a Vote of Securities Holders:  Inapplicable.

Item 5.  Other Information:  Inapplicable.

Item 6.  Exhibits and Reports on Form 8-K:

          a) Exhibits:  EX-27

          b) Reports on Form 8-K:  None
































                                         11


                                    SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the regis-
trant has duly caused this report to be signed on its behalf by the under-
signed, thereunto duly authorized.

               FIDELITY LEASING INCOME FUND VII, L.P.




            8-14-98     By:  Freddie M. Kotek
            _______          ___________________________
            Date             Freddie M. Kotek
                             President of
                             F.L. Partnership Management, Inc.
                             (Principal Operating Officer)





            8-14-98     By:  Marianne T. Schuster
            _______          ___________________________
            Date             Marianne T. Schuster
                             Vice President of
                             F.L. Partnership Management, Inc.
                             (Principal Financial Officer)


























                                         12


                                    SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the regis-
trant has duly caused this report to be signed on its behalf by the under-
signed, thereunto duly authorized.

               FIDELITY LEASING INCOME FUND VII, L.P.




            8-  -98      By:
            _______          ___________________________
            Date             Freddie M. Kotek
                             President of
                             F.L. Partnership Management, Inc.
                             (Principal Operating Officer)





            8-  -98       By:
            _______          ___________________________
            Date             Marianne T. Schuster
                             Vice President of
                             F.L. Partnership Management, Inc.
                             (Principal Financial Officer)


























                                         12