SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549




                                    FORM 10-Q
                      -------------------------------------

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


                      For Quarter Ended September 30, 1998
                         Commission File Number 33-17232


                       ASSET BACKED SECURITIES CORPORATION
             (Exact name of registrant as specified in its charter)



            Delaware                                 13-3354848
(State or other jurisdiction               (I.R.S. Employer Identification No.)
      of incorporation)   

11 Madison Avenue, New York, New York                     10010
---------------------------------------------------------------
(Address of principal executive offices)                            (Zip Code)

Registrant's telephone number, including area code                212-325-1811
                                                                  ------------

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 registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No ____

Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date:

                          1,000 shares of common stock
                       outstanding as of November 9, 1998



<PAGE>


                       ASSET BACKED SECURITIES CORPORATION
                                      INDEX


                                                                          Page
                                                                         Number
PART I        FINANCIAL INFORMATION

      Item   1.  Financial Statements

                 Statements of Financial Condition as of  September 30, 1998
                               and December 31, 1997                          3

                 Statements of Operations for the Nine Months Ended
                             September 30, 1998 and 1997                      4

                 Statements of Cash Flows for the Nine Months Ended
                            September 30, 1998 and 1997                       5

                 Notes to Financial Statements                                6

      Item   2.  Management's Discussion and Analysis of Financial
                       Condition and Results of Operations                    7

PART II           OTHER INFORMATION

      Item     1.  Legal Proceedings                                          8

      Item     2.  Changes in Securities                                      8

      Item     3.  Defaults Upon Senior Securities                            8

      Item     4.  Submission of Matters to a Vote of Security Holders        8

      Item     5.  Other Information                                          8

      Item     6.  Exhibits and Reports on Form 8-K                           9

SIGNATURE                                                                    10

INDEX TO EXHIBITS                                                            11





                                     Page 2
<PAGE>
                      ASSET BACKED SECURITIES CORPORATION
                        STATEMENTS OF FINANCIAL CONDITION

<TABLE>
<CAPTION>


                                                                       September 30,                December 31,
                                                                            1998                       1997
                                                                   ---------------------       ---------------------
                                                                       (unaudited)
                                                                      (in thousands, except par value and share data)
<S>                                                                   <C>                        <C>   
Assets:

Cash                                                                  $           1              $             1
Receivable from Credit Suisse First Boston Management
  Corporation                                                                    18                           18
                                                                        ------------               --------------


             Total Assets                                             $          19              $            19
                                                                        ============               ==============


Liabilities and Stockholder's Equity:

Accrued expenses                                                      $           -              $             -
                                                                        ------------               --------------

             Total Liabilities                                                    -                            -
                                                                        ------------               --------------

Stockholder's Equity:

Common stock and paid in capital, 
$1 par value (authorized 10,000 shares; 
1,000 issued and outstanding at
September 30, 1998 and December 31,1997)                                         19                           19
                                                                        ------------               --------------

             Total Liabilities and Stockholder's Equity               $          19              $            19
                                                                        ============               ==============
</TABLE>






                 See Accompanying Notes to Financial Statements.

                                     Page 3

<PAGE>

                      ASSET BACKED SECURITIES CORPORATION
                            STATEMENTS OF OPERATIONS
                                   (unaudited)
<TABLE>
<CAPTION>
                                                               Nine Months                  Nine Months
                                                                  Ended                        Ended
                                                            September 30, 1998          September 30, 1997
                                                           ---------------------      ------------------------
                                                                             (in thousands)

<S>                                                       <C>                           <C>
Revenues:
     Commitment fee and miscellaneous income              $            -                $              -
                                                           --------------                ----------------
                                                                       -                               -
                                                           --------------                ----------------
Expenses:                                                                             
     General and administrative expenses                               -                               -
                                                           --------------                ----------------
                                                                       -                               -
                                                           --------------                ----------------
                                                                                      
Income from operations before income tax                                              
     expense                                                           -                               -
                                                           --------------                ----------------
Income tax expense                                                     -                               -
                                                           --------------                ----------------
                                                                                      
Net income                                                $            -                $              -
                                                           ==============                ================
</TABLE>
                                                                             
                                                                              
                 See Accompanying Notes to Financial Statements               
                                                                              
                                     Page 4                                   
                                                                              
                                                                              
<PAGE>                                                                        
                       ASSET BACKED SECURITIES CORPORATION                    
                            STATEMENTS OF CASH FLOWS                          
                                   (unaudited)                                
                                                                              
<TABLE>
<CAPTION>
                                                                   Nine Months            Nine Months
                                                                      Ended                  Ended
                                                               September 30, 1998       September 30, 1997
                                                            -----------------------   ---------------------
                                                                        (in thousands)
                                                                            
                                                                            
<S>                                                          <C>                        <C> 
Cash Flows From Operating Activities:                                       
                                                                            
Net income                                                   $             -            $             -
Adjustments to reconcile net income                                                   
     to net cash provided by (used for)                                               
     operating activities:                                                 -                          -
                                                              ---------------            ---------------
Net Cash Provided by Operating Activities                                  -                          -
                                                              ---------------            ---------------
                                                                                      
                                                                                      
Net increase in cash                                                       -                          -
                                                              ---------------            ---------------
Cash at beginning of period                                                1                          1
                                                              ---------------            ---------------
Cash at end of period                                        $             1            $             1
                                                              ===============            ===============
                                                                                      
</TABLE>
                                                                              
                                                                            



                 See Accompanying Notes to Financial Statements

                                     Page 5


<PAGE>

                       ASSET BACKED SECURITIES CORPORATION
                          NOTES TO FINANCIAL STATEMENTS
                                   (unaudited)

1.    Description of Business



     Asset Backed Securities Corporation (the "Company"), is a wholly owned
     subsidiary of Collateralized Mortgage Securities Corporation, which is a
     wholly owned subsidiary of Credit Suisse First Boston Management
     Corporation ("FBSC"). FBSC is a wholly owned subsidiary of Credit Suisse
     First Boston Inc., a privately owned holding company.

     The foregoing financial statements are unaudited; however, in the opinion
     of management, all adjustments (comprising only normal recurring accruals)
     necessary for a fair presentation of the financial statements have been
     included. A summary of the significant accounting policies is set forth in
     Note 2 to the Company's December 31, 1997 Financial Statements contained in
     the Company's 1997 Form 10-K.




























                                     Page 6
<PAGE>

Item 2.      Management's Discussion and Analysis of Financial Condition and 
             Results of Operations


             The principal activities of the Company include (i) issuing and
             selling asset backed obligations (the "Notes") and acquiring,
             owning, holding and pledging automotive receivables, (ii) conveying
             or transferring all or any portion of the Company's rights, title
             or interest in the Notes to various entities including trusts and
             (iii) creating, acquiring, owning and selling residual interest in
             such activities.

             Results of Operations

             For the nine months ended September 30, 1998 and 1997, the Company
             had no transactions.

             Liquidity and Capital Resources

             The Company utilizes FBSC to facilitate the settlement of all cash
             transactions and maintains all excess cash with FBSC. Such cash is
             available from FBSC on demand and does not earn interest.





























                                     Page 7
<PAGE>

                           PART II - OTHER INFORMATION

Item 1.           Legal Proceedings

                  None.

Item 2.           Changes in Securities

                  Not applicable.

Item 3.           Defaults Upon Senior Securities

                  Not applicable.

Item 4.           Submission of Matters to a Vote of Security Holders

                  None.

Item 5.           Other Information

                  None.

Item 6.           Exhibits and Reports on Form 8-K

                  (a) Exhibits:

                      Restated Certificate of Incorporation of Asset Backed
                      Securities Corporation (incorporated by reference to
                      Exhibit 3.1 of the Company's Current Report on Form 8-K
                      filed with the Securities and Exchange Commission on March
                      19, 1987).

                      By-Laws of Asset Backed Securities Corporation
                      (incorporated by reference to Exhibit 3.2 of the Company's
                      Current Report on Form 8-K filed with the Securities and
                      Exchange Commission on March 19, 1987).

                      Indenture, dated as of October 30, 1986, between Asset
                      Backed Securities Corporation and State Street Bank and
                      Trust Company, the Trustee (incorporated by reference to
                      Exhibit 2 of the Company's Current Report on Form 8-K
                      filed with the Securities and Exchange Commission on March
                      19, 1987).








                                     Page 8
<PAGE>
Item 6.           Exhibits and Reports on Form 8-K (continued)

                  (b) Reports on Form 8-K:
<TABLE>
<CAPTION>
                       Items Reported                   Financial Statements Filed         Date of Filing

<S>              <C>                                         <C>                            <C>
Item 7.          Financial Statements, Pro Forma
                 Financial Information and Exhibits          Not Applicable                 July 9, 1998

Items 5&7.       Other Events and
                 Financial Statements and Exhibits           Not Applicable                 July 9, 1998

Items 5&7.       Other Events and
                 Financial Statements, Pro Forma
                 Financial Information and Exhibits          Not Applicable                July 14, 1998

Items 5&7.       Other Events and
                 Financial Statements, Pro Forma
                 Financial Information and Exhibits          Not Applicable                July 22, 1998

Items 5&7.       Other Events and
                 Financial Statements, Pro Forma
                 Financial Information and Exhibits          Not Applicable                July 31, 1998

Items 5&7.       Other Events and
                 Monthly Statements and Exhibits             Not Applicable               August 7, 1998

Items 5&7.       Other Events and
                 Monthly Statements and Exhibits             Not Applicable            September 1, 1998

Items 5&7.       Other Events and
                 Monthly Statements and Exhibits             Not Applicable            September 9, 1998

Items 5&7.       Other Events and
                 Monthly Statements and Exhibits             Not Applicable           September 25, 1998

</TABLE>








                                     Page 9
<PAGE>








                                    SIGNATURE


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



                                                 Asset Backed
                                                 Securities Corporation



                                                 By: THOMAS M. ZINGALLI
                                                     -------------------
                                                     Thomas M. Zingalli
                                                  Controller and Principal
                                                      Accounting Officer
                                                (Duly Authorized Officer and
                                                 Principal Accounting Officer)


Dated:  November 9, 1998





















                                     Page 10
<PAGE>


                                INDEX TO EXHIBITS
<TABLE>
<CAPTION>
Exhibit
Number            Description of Exhibit                                                         Page
------            ----------------------                                                         ----
<S>               <C>                                                                              <C> 
  2               Indenture, dated as of October 30, 1986, between Asset Backed
                  Securities Corporation and State Street Bank and Trust Company,
                  the Trustee.                                                                     *

3.1               Restated Certificate of Incorporation of Asset Backed Securities
                  Corporation.                                                                     *

3.2               By-Laws of Asset Backed Securities Corporation.                                  *

</TABLE>

* Incorporated by reference to the same Exhibits in the Current Report on Form
8-K filed with the Securities and Exchange Commission on March 19, 1987.

















                                     Page 11