SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549
                              --------------------

                                    FORM 10-K

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

For the fiscal year ended                     0-23961
December 31, 1998                             Commission file number
--------------------
                               METRIS MASTER TRUST
                     Metris Receivables, Inc., as Transferor
             (Exact name of registrant as specified in its charter)
        Delaware                                           41-1810301
(State of Incorporation)                    (I.R.S. Employer Identification No.)

        600 South Highway 169, Suite 300, St. Louis Park, Minnesota 55426
                    (Address of principal executive offices)

                                 (612) 525-5077
              (Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:  None

Securities registered pursuant to Section 12(g) of the Act:

6.45% Asset Backed Certificates, Series  1996-1, Class A
6.80% Asset Backed Certificates, Series 1996-1, Class B
6.87% Asset Backed Certificates, Series 1997-1, Class A
7.11% Asset Backed Certificates, Series 1997-1, Class B
Floating Rate Asset Backed Certificates, Series 1997-2, Class A
Floating  Rate Asset Backed Certificates, Series 1997-2, Class B

Securities not registered under the Act:

Floating Rate Asset Backed Securities, Series 1998-2, Class A
Floating Rate Asset Backed Securities, Series 1998-3, Class A

The  Registrant  has no voting stock or class of common stock  outstanding as of
the date of this report.

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 and (2) has been subject to such filing requirements for
the past 90 days. Yes X No

The aggregate  principal  amount of  Certificates  held by non  affiliates as of
December 31, 1998 was approximately $2,746,366,667.


                                TABLE OF CONTENTS

PART I
                                                                   Page

Item 1.    Business...................................................3

Item 2.    Properties.................................................3

Item 3.    Legal Proceedings..........................................3

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

PART II

Item 5.    Market for Registrant's Common Equity and Related
           Stockholder Matters........................................4

Item 6.    Selected Financial Data....................................4

Item 7.    Management's Discussion and Analysis of Financial
           Condition and Results of Operations........................4

Item 8.    Financial Statements and Supplementary Data................4

Item 9.    Changes in and Disagreements with Accountants on
           Accounting and Financial Disclosure........................4

PART III

Item 10.   Directors and Executive Officers of the Registrant.........4

Item 11.   Executive Compensation.....................................4

Item 12.   Security Ownership of Certain Beneficial
           Owners and Management......................................5

Item 13.   Certain Relationships and Related Transactions.............5

PART IV

Item 14.   Exhibits, Financial Statement Schedules....................5
           and Reports on Form 8-K

Signatures............................................................6


<PAGE>


PART I

                  The Metris Master Trust (the "Trust" or the  "Registrant") was
         originated  by  Metris  Receivables,  Inc.  f/k/a  Fingerhut  Financial
         Services  Receivables Inc. (the "Transferor"),  as Transferor under the
         Pooling and Servicing  Agreement dated as of May 26, 1995,  amended and
         restated  July 30, 1998, as amended (the P&S  Agreement")  by and among
         the   Transferor,   Direct   Merchants   Credit  Card  Bank,   National
         Association,  as  servicer  (the  "Servicer")  and The Bank of New York
         (Delaware),  as  trustee.  The P&S is  supplemented  by various  series
         supplements  providing  for the  issuance  of  certificates  in varying
         series.  The Series 1996-1 Supplement dated as of April 23, 1996 to the
         P&S   Agreement   provided   for  the  issuance  of  the  Asset  Backed
         Certificates,  Series 1996-1 (the "Series  1996-1  Certificates").  The
         Series 1997-1  Supplement  dated as of May 8, 1997 to the P&S Agreement
         provided   for  the   issuance  of  another   series  of  Asset  Backed
         Certificates,  (the "Series  1997-1  Certificates").  The Series 1997-2
         Supplement dated as of November 20, 1997 to the P&S Agreement  provided
         for another  series of Asset Backed  Certificates  (the "Series  1997-2
         Certificates").  The Series 1998-2  Supplement  dated as of December 4,
         1998 to the P&S Agreement  provided for another  series of Asset Backed
         Securities  (the  "Series  1998-2   Securities").   The  Series  1998-3
         Supplement  dated as of December 4, 1998 to the P&S Agreement  provided
         for another  series of Asset  Backed  Securities  (the  "Series  1998-3
         Securities").  Hereafter,  Series  1996-1  Certificates,  Series 1997-1
         Certificates, Series 1997-2 Certificates, Series 1998-2 Securities, and
         Series  1998-3   Securities  are   collectively   referred  to  as  the
         "Securities." The Securities  represent interests in the Trust only and
         do not  represent  interests in or  obligations  of Metris  Receivables
         Inc., Direct Merchants Credit Card Bank, National  Association,  Metris
         Companies  Inc. or any  affiliate  thereof.  There are four  classes of
         Securities in Series 1996-1,  1997-1 & 1997-2.  Class A and Class B are
         registered pursuant to Section 12(g), Class C is privately held and the
         Transferor holds Class D. There are two classes of Securities in Series
         1998-2 & 1998-3.  Class A is to be registered pursuant to Section 12(g)
         within 120 days after December 31, 1998, and the Transferor holds Class
         B. The Transferor has retained the transferor's interest in the Trust.

                  The  Registrant  has prepared  this Form 10-K in reliance upon
         various  no-action  letters  issued  by  the  Securities  and  Exchange
         Commission (the  "Commission") to other trusts which are  substantially
         similar to the Trust.  Items designated herein as "Not Applicable" have
         been omitted as a result of this reliance.

Item 1.  Business

                  Not Applicable

Item 2.  Properties

                  The Trust's  sole asset is a pool of credit  card  receivables
         originated or acquired by Direct Merchants  Credit Card Bank,  National
         Association.

Item 3.  Legal Proceedings

                  Metris Receivables, Inc. is not aware of any material pending
         litigation involving the Registrant, the Trustee, the
         Seller, or the Servicer with respect to the Securities or the
         Registrant's Property.

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

                  No  vote or  consent  of  holders  of any  Class A or  Class B
         Securities was solicited for any purpose during the year ended December
         31, 1998.

PART II

Item 5.  Market for the Registrant's Common Equity and Related Stockholders
         Matters

                  Each Class of the Securities representing investors' interests
         in the  Trust  is  represented  by a  single  Security  of  such  Class
         registered  in the  name of Cede & Co.  ("Cede"),  the  nominee  of The
         Depository  Trust  Company.  To the best  knowledge of the  Registrant,
         there is no established public trading market for the Securities.

Item 6.  Selected Financial Data

         .........Not applicable.

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

         .........Not applicable.

Item 8.  Financial Statements and Supplementary Data

                  Not applicable.

Item 9.  Changes in and Disagreements with Accountants on Accounting and
         Financial Disclosure

         .........None.

PART III

Item 10. Directors and Executive Officers of the Registrant

         .........Not applicable.

Item 11. Executive Compensation

         .........Not applicable.


<PAGE>


Item 12. Security Ownership of Certain Beneficial Owners and Management

                  The Securities  representing investors' interests in the Trust
         are  represented by a single  Security  registered in the name of Cede,
         the nominee of DTC, and an investor holding an interest in the Trust is
         not entitled to receive a Security representing such interest except in
         certain limited circumstances.  Accordingly, Cede is the sole holder of
         record of  Securities,  which it holds on behalf of  brokers,  dealers,
         banks and other  direct  participants  in the DTC  system.  Such direct
         participants  may hold  Securities  for their own  accounts  or for the
         accounts of their customers. The name and address of Cede is :

                                    Cede & Co.
                                    c/o The Depository Trust Company
                                    Seven Hanover Square
                                    New York, New York  10004

                  The Seller is not aware of any Schedules 13D or 13G filed with
the Commission in respect of the Securities.

Item 13. Certain Relationships and Related Transactions

         .........Not applicable.

PART IV

Item 14. Exhibits, Financial Statement Schedules, and Reports on Form 8-K

         (a)      1.       Financial Statements:              Not Applicable

                  2.       Financial Statement Schedules:     Not Applicable

                  3.       See Exhibit 99 below


         (b) The  following  reports  on Form 8-K were  filed  during the fourth
             fiscal quarter of 1998.

                  Date of Report                           Items Covered
                  October 20, 1998             Securityholders' Statement with
                  November  20,  1998          respect to distributions made
                  December 21, 1998            during such months

          (c)      Exhibit 99

               99.1     Annual Servicer's Certificate dated March 12, 1999.
               99.2     Supplementary Metris Master Trust
               99.3     Independent Public Accountants Review of Agreed Upon
                        Procedures

          (d)      Not applicable.




SIGNATURES

         Pursuant to the  requirements  of Section 13 or 15(d) 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,  on this 12th day of
March, 1999.

                                   METRIS MASTER TRUST
                                   METRIS RECEIVABLES, INC.
                                   (Registrant)


                                   By: /s/ Paul T. Runice
                                      ------------------------------------------
                                           Paul T. Runice
                                           Senior Vice President and Treasurer
                                               Metris Receivables, Inc.,
                                               as Transferor



<PAGE>


                                INDEX TO EXHIBITS


Exhibit                     Description of
Number                      Exhibit

            99.1            Annual Servicer's Certificate

            99.2            Supplementary Master Trust Data

            99.3            Independent Public Accountant's Review of Agreed
                            Upon Procedures