U. S. SECURITIES AND EXCHANGE COMMISSION
                            WASHINGTON, D. C. 20549

                                  FORM 10-QSB

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

     For  the  quarterly  period  ended  September  30,  1997

[ ]     TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
        ACT

     For  the  transition  period  from  _______________  to  _______________

                          Commission File No. 0-12240

                         NOTE BANKERS OF AMERICA, INC.
                (Name of Small Business Issuer in its Charter)

             TEXAS                                84-0882076
(State or Other Jurisdiction of            (I.R.S. Employer I.D. No.)
incorporation or organization)


                        770 S. Post Oak Lane Suite 690
                             Houston, Texas 77056
                   (Address of Principal Executive Offices)

                   Issuer's Telephone Number: (713) 840-0230

Indicate  by  check  mark  whether  the  Registrant  (1) has filed all reports
required to be filed by Sections 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.

(1)          Yes        / /     No /X/          (2)     Yes /X/     No     / /

               APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                  PROCEEDINGS DURING THE PRECEDING FIVE YEARS

          Check  whether  the  registrant  filed  all  documents  and  reports
required  to be filed by Section 12, 13 or 15(d) of the Exchange Act after the
distribution  of  securities  under  a  plan  confirmed  by  court.

          Yes  /  /          No  /  /

                     APPLICABLE ONLY TO CORPORATE ISSUERS

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

                               November 10, 1997

                       Common Voting Stock - 23,555,000



                        PART I - FINANCIAL INFORMATION

Item  1.          Financial  Statements.

<TABLE>
<CAPTION>

                           NOTE BANKERS OF AMERICA, INC.
                                     UNAUDITED
                            Consolidated Balance Sheets
                                 September 30, 1997


                             ASSETS
                             ------

<S>                                                       <C>
CASH                                                      $    5,253 

LOANS HELD FOR RESALE                                        809,660 

FURNITURE, FIXTURES  AND EQUIPMENT, at cost, less
           accumulated depreciation of $13,681                 7,096 

REAL ESTATE OWNED                                             55,466 

ACCRUED INCOME AND OTHER  ASSETS                              24,078 

GOODWILL                                                      40,511 

                                                          $  942,064 

  LIABILITIES AND STOCKHOLDERS' DEFICIT
--------------------------------------------------------             

BANK LINE OF CREDIT                                       $   46,848 

ESCROW DEPOSITS                                               47,277 

ACCOUNTS PAYABLE AND ACCRUED EXPENSES                        307,463 

NOTES PAYABLE                                              1,139,484 

STOCKHOLDERS' DEFICIT
          Preferred Stock, No Par Value; 150,000,000
                    shares authorized; none issued                 - 
          Common Stock, $.001 par value; 500,000,000
                    shares authorized, 23,555,000 shares
                    issued and outstanding                    23,555 
          Paid In Capital                                     73,231 
          Accumulated Deficit                               (695,794)
  Total Stockholders' Deficit                               (599,008)

                                                          $  942,064 
</TABLE>


<TABLE>
<CAPTION>

                     NOTE BANKERS OF AMERICA, INC.
                              UNAUDITED
                 Consolidated Statements of Operations
               For the Three  Months Ended September 30


                                                     1997         1996
                                                 ------------  -----------
<S>                                              <C>           <C>
REVENUE:
          Brokerage Income                       $    34,587   $  108,551 
          Gain on Loan Sales                               0        4,658 
          Interest on Loans                           31,395       40,407 
          Loan Servicing Fees                          1,916        1,906 
  Total Revenue                                       67,898      155,522 

OPERATING EXPENSES
          Brokerage Commissions                        5,003       53,157 
          Interest Expense                            34,629       40,290 
          Salaries and Benefits                       57,633      105,378 
          Occupancy                                    8,430        6,763 
          Legal and Accounting Expense                 1,390       36,802 
          Amortization and Depreciation                  831          876 
          Other                                       19,541       30,311 
  Total Operating Expenses                           127,457      273,577 

LOSS FROM OPERATIONS                                 (59,559)    (118,055)

OTHER INCOME
          Gain on Sale of Real Estate                 16,594        1,992 
          Other Income                                 7,578        5,715 
  Total Other Income                                  24,172        7,707 

NET LOSS                                             (35,387)    (110,348)

Net Losses of Subsidiaries Prior to Acquisition            0       20,033 

CONSOLIDATED NET LOSS                            $   (35,387)  $  (90,315)


LOSS PER SHARE AMOUNTS                             ($0.00155)   ($0.02389)

WEIGHTED AVERAGE SHARES OUTSTANDING               22,805,000    3,781,000 
</TABLE>


<TABLE>
<CAPTION>

                                   NOTE BANKERS OF AMERICA, INC.
                                            UNAUDITED

                     Consolidated Statement of Change in Stockholders' Equity
                          For the Three Months Ended September 30, 1997

                                        Common Stock             Paid In  Retained   Stockholders'
                                           Shares       Amount   Capital  Earnings       Equity
                                        -------------  --------  -------  ---------  --------------
<S>                                     <C>            <C>       <C>      <C>        <C>
Balances June 30, 1997                    22,430,000    22,430    73,231  (660,407)       (564,746)

  Net Loss - 3  months ended 9/30/97                                       (35,387)        (35,387)

  Issue stock in exchange for services     1,125,000     1,125                               1,125


Balances September 30, 1997               23,555,000    23,555    73,231  (695,794)       (599,008)
</TABLE>


<TABLE>
<CAPTION>

                                                                      NOTE BANKERS OF AMERICA, INC.
                                                                                          UNAUDITED
                                                               Consolidated Statements of Cash Flow
                                                            For the Three Months Ended September 30


                                                                                1997        1996
                                                                             ----------  ----------
<S>                                                                          <C>         <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net Income (Loss)                                                          $ (35,388)  $(110,348)
  Adjustments to reconcile net loss to
       net cash provided by operating activities:
       Depreciation and Amortization                                               824         876 
       Expenses paid by a shareholder on behalf of the company
            and accounted for as contributed capital                                         4,801 
       Amortization of unearned
            discounts and fees                                                 (10,270)     (6,035)
       Changes in operating assets and liabilities:
            Decrease (increase) in accrued
                 income and other assets                                          (532)     (1,260)
            (Decrease) increase in accounts payable and accrued expenses        33,174      21,095 
                 Less accrued expenses paid by a shareholder on behalf of
                      the company and accounted for as contributed capital                  15,199 
       Stock issued for consulting expense                                                   1,125 
       Gain on sale of loans                                                                (4,658)
       Gain on sale of real estate                                             (16,594)     (1,992)
            Net cash used in operating
                activities                                                     (27,661)    (82,322)
CASH FLOWS FROM INVESTING  ACTIVITIES:
  Purchase of Loans                                                                       (103,602)
  Proceeds from sale of loans                                                               95,743 
  Payments received on loans                                                    43,250      27,757 
  Purchase of real estate and improvements                                                    (732)
  Proceeds from sale of real estate                                             88,917      31,602 
  Increase in Loans to Stockholders                                                         (3,000)
            Net cash provided by (used in)
                 investing activities                                          132,167      47,768 
CASH FLOWS FROM FINANCING ACTIVITIES:
  Increase (decrease) in escrow
       deposits                                                                  2,563      10,346 
  Payments on bank line of credit                                                          (18,500)
  Proceeds from notes payable                                                               85,274 
  Payments on notes payable                                                   (108,816)    (63,719)
  Proceeds from sale of stock                                                               30,000 
            Net cash provided by (used in)
                    financing activities                                      (106,253)     43,401 

(DECREASE) INCREASE IN CASH                                                     (1,747)      8,847 

CASH - beginning of period                                                       7,000      22,801 

CASH - end of period                                                         $   5,253   $  31,648 
</TABLE>


                        NOTE BANKERS OF AMERICA, INC.
           NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
                              SEPTEMBER 30, 1997


     Organization:
     -------------
(1)          Note  Bankers of America, Inc. holds 100% of the stock of Private
Mortgage  Bankers, Inc., a buyer/broker of owner financed  mortgages, and Life
Today,  Inc.,  a  viatical  settlement  broker.

(2)          Business  Activities:
             --------------------
The  Company  purchases  privately  held,  owner  financed  mortgages  from
individuals  who  have  personally  financed  the  sale  of real property. The
Company  either  holds  the  loans  for  investment  purposes or sells them to
individual  investors, banks or other institutions. The Company is also in the
business  of  brokering  owner-financed  mortgages.

Another principal business activity of the Company is to broker life insurance
policies  of  terminally  ill  individuals to other investors or institutions.
The  life  insurance  policyholder receives a percentage of the face amount of
the  policy,  determined  by  certain  factors,  including  the insured=s life
expectancy.    The  Company  receives  a  commission to provide this brokerage
service.

(3)          Consolidation  Accounting  Policies:
             ------------------------------------
The  financial  statements   reflect the acquisitions of Life Today by Private
Mortgage  Bankers,  Inc.,  as  a  purchase  resulting  in  Goodwill (excess of
purchase price over net worth) of $40,511. The acquisition of Private Mortgage
Bankers,  Inc.,  by  Note  Bankers  of  America,  Inc. represents and has been
accounted  for  as  a  pooling  of interest. All intercompany transactions are
eliminated  in  consolidation.

(4)          Furniture,  Fixtures  and  Equipment:
             -------------------------------------
Furniture,  fixtures  and  equipment  is  stated  at  cost  less  accumulated
depreciation.  Depreciation  of  furniture, fixtures and equipment is computed
using  the  straight-line  method over estimated useful lives of the assets of
five  years.

(5)          Loans  Held  for  Resale:
             ------------------------
Loans  to be held for an indefinite period of time are classified as available
for  sale and are carried at the lower of cost or market.  Cost is computed as
the  principal amount outstanding, net of unearned discounts and deferred loan
fees  and  expenses. Unearned discounts on loans are recognized as income over
the  term  of  the  loans  on  a  level-yield method.  These loans are sold in
response to changes in market interest rates, liquidity needs or other similar
factors.

The  allowance  of credit losses is established through a provision for credit
losses charged to operating expense. The allowance represents an amount which,
in  management=s  judgement  will  be  adequate  to  absorb possible losses on
existing  credits  which  may  become uncollectible. Management=s judgement in
determining  the  adequacy  of  the  allowance  is based on evaluations of the
collect  ability  of  loans.  These  evaluations  take into consideration such
factors  as  changes  in  the nature and volume of the loan portfolio, current
economic conditions, overall portfolio quality and review of specific credits.

The  Company  began  accounting  for  impaired  loans in 1995 as prescribed in
Statement  of  Financial Accounting Standards No.118, AAccounting by Creditors
for  Impairment  of  a Loan@ (SFAS No.118). Impaired loans are measured on the
present value of expected future cash flows discounted at the loan=s effective
interest  rate  or,  as a practical expedient, at the loan=s observable market
price or the fair value of the collateral if the loan is collateral dependent.
The  adoption  of  SFAS  No.118  had  no  material  impact  upon the financial
statement  of  the  Company.

(6)          Loan  Origination  Costs:
             ------------------------
Loan  origination  costs  are  deferred  and  amortized  over the lives of the
related  loans  as  an  adjustment  of  yield.
(7)          Real  Estate  Owned:
             --------------------
Real  estate  owned  represents  property purchased for investment or acquired
through  foreclosure.    Real  estate owned is carried at the lower of cost or
fair  value.  Reductions  in  the  balance of real estate owned at the time of
foreclosure  are  charged  to  the allowance for credit losses. Any subsequent
write  downs  to  reflect current fair value are charged to operating expense.

(8)          Income  Taxes:
             --------------
The  Company recognizes income taxes in accordance with Statement of Financial
Accounting Standards No.109, AAccounting for Income Taxes@ (SAS No.109). Under
this  method,  deferred  income  taxes  are  recognized  for  the  future  tax
consequences  attributable  to  differences  between  the  financial statement
carrying  amounts  of existing assets and liabilities and their respective tax
basis.

Under  SAS No.109, deferred tax assets are recognized for deductible temporary
differences  and  operating  loss  and  tax  credit carry forwards, and then a
valuation  allowance is established to reduce that deferred tax asset if it is
Amore  likely  than  not@  that the related tax benefits will not be realized.

(9)          Brokerage  Income:
             ------------------
Revenue  is  recognized when a life insurance policy is sold to an investor or
institution  and  both  parties  are funded.  Under insurance regulations, the
insured  has  15  calendar days, after receipt of the proceeds, to rescind the
sale  of  the  life  insurance  policy.  If  the  sale is rescinded, the sales
proceeds  and  the commission is returned to the purchasing insurance company.
The  Company  accounts for any rescissions during the month the life insurance
policy was originally sold.  Since inception, the Company has not had a policy
sale  rescinded.

(10)          Commitments  and  Contingencies:
              -------------------------------
The  company  executed  a  "Loan  Acquisition,  Servicing  and  Repurchase
Agreement"  with  a bank in 1991 under the terms of which the company brokered
certain mortgage loans to the bank and provides servicing of the loans for the
bank. The agreement includes a default agreement under which the company is to
"buy  back"  mortgage  loans  that  become delinquent. As of September 30,1997
there  were 20 loans being serviced by the company with a amortized cost basis
to  the bank of approximately $461,239. All of the loans are secured by single
family,  owner  occupied residences in the greater Houston area and one was 60
days past due at September 30, 1997 with a basis of $32,558. Performance under
the  agreement  is  guaranteed  by  a  major  stockholder  of the Company.  No
significant  loss  to  the  company  under  this  agreement  is anticipated by
management.

(11)          Estimates:
              ---------
The  preparation of financial statements in conformity with generally accepted
accounting  principles  requires  management to make estimates and assumptions
that  affect  the  reported amount of assets and liabilities and disclosure of
contingent  assets and liabilities at the date of the financial statements and
the  reported  amounts  of  revenues and expenses during the reporting period.
Actual  results  could  differ  from  those  estimates.

(12)          Fair  Value  of  Financial  Instruments
              ---------------------------------------
The  Company=s  only  financial  instruments are  accounts payable and accrued
expenses.  Management  believes  the  carrying  amount  of  these  financial
instruments  approximate  their  fair  values.

(13)          Revolving  Line  of  Credit:
              ---------------------------
The  Company  had a revolving line of credit with a bank in the maximum amount
of  $250,000 which matured September 23, 1997.  The line of credit was used by
the  Company solely to finance the purchase of single family residential loans
and  the  holding of such loans until they are sold. The balance of $46,848 as
of  September 30, 1997 is being liquidated as the Company sells the underlying
mortgages.  Funds  from  sources  other  than the underlying mortgages will be
required  to  fully  liquidate  the  balance.

(14)          Notes  Payable:
              --------------
On  September  30,  1997,  the Company had financial arrangements with various
individuals  through  their  individual  retirement (IRA) accounts, which were
originated  to  finance the purchase of mortgage loans and real estate.  Notes
collateralized  by  mortgage  loans mature at various dates from 1997 to 2021.
The  notes  become  due  and  payable  immediately upon demand of individuals.
Principal and interest are payable monthly, at rates ranging from 11% to 12 %.
In  the  event  of  foreclosure,  the  notes payable are collateralized by the
underlying  real estate; principal payments are discontinued and interest only
is  payable  monthly.  Upon the Company=s sale of the real estate and creation
of a new mortgage loan, principal payments and interest are due monthly, based
on  the  term  and maturity date of the new mortgage loan.  Upon the Company=s
sale  of real estate for cash, the note payable becomes unsecured. The Company
is  obligated  to  make  a  best  effort  to collateralize the note with a new
mortgage  loan  purchase  or  real  estate purchase. Unsecured notes and notes
secured  by  real  estate  have  no  stated maturity date. Interest is payable
monthly  at  rates  ranging  from  11% to 12%. At September 30, 1997 the notes
payable  to  individuals  pursuant  to  this  arrangement  totaled  $834,872.

As  of  September  30, 1997 five regularly scheduled payments of principal and
interest  on  the  above notes were currently and past due. The payments total
$68,004  and are included in Accounts Payable and Accrued Expenses. Subsequent
to  September  30,  1997 assignments passing title to the collateral mortgages
were  recorded  by  the  IRA  account  trustee.  The  effect  on the financial
statements  of  the  company  will be a significant reduction in assets with a
similar  reduction  in  notes  payable.

The  Company    has various notes to two individuals, having no written terms,
including  the  maturity  dates and interest rates.  Some of the notes are due
upon  the  maturity  of the underlying mortgage loan collateral; and the other
notes  have  no  stated  maturity date and are unsecured.  Interest rates vary
between  12%  to  13%  and  for  some  notes, interest is payable monthly; for
others,  interest  is  due  at  maturity  of  the  underlying  mortgage  loan
collateral.    Should  an  individual  desire  to  liquidate his account, upon
written  notice,  the  Company  will employ its best efforts and has up to six
months  to  sell the underlying collateral for cash proceeds to be remitted to
the  individual.  In  such  liquidation,  funds  from  sources  other than the
underlying  mortgage  loans would be required.  The collateralized notes total
$88,999  and  the  unsecured  notes  total  $154,132  at  September  30, 1997.

The  Company  has  two  notes  payable  for  the  purchase of stock in Private
Mortgage  Bankers,  Inc.  of  $30,000  each  due August 15, 1999 with interest
payable  monthly at the rate of eight percent. Five interest payments totaling
$2,000  were  past  due  at  September  30,  1997 and are included in Accounts
Payable  and  Accrued  Expenses.


(15)          Concentrations  of  Credit  Risk
              --------------------------------
     The  Company=s  financial instruments which are exposed to concentrations
of  credit        risk consist primarily of loans receivable secured by single
family  residential     mortgages in Houston and surrounding area. The Company
assesses its credit risk     and provides an allowance for credit loss for any
loans  which  it  deems  doubtful          of  collection.



`(16)          Loans  Receivable:
               -----------------
     Major  classifications  of  loans  at  September 30, 1997 are as follows:

     Residential  real  estate:
 Single  Family  residential                 $915,752
      Multi-Family  residential                17,241
     Commercial:                               14,307
     Land:                                      5,920
                                             --------
                                              953,220

     Less:
   Loan  fees  and  unearned  discounts       133,560
   Allowance  for  credit  losses              10,000
                                             --------

                                             $809,660
                                             ========


(17)          Liquidity  and  Ability  to  Continue  as  a  Going  Concern
              ------------------------------------------------------------

The  Company  used  $273,913 in cash for operations during the year ended June
30, 1997 and an additional $27,661 during the three months ended September 30,
1997.  The  Company  will require additional sums to continue in operations in
the future without a significant increase in brokerage income. There can be no
assurance that any increase in brokerage income can be obtained. The Company=s
other  primary  sources  of cash during those periods was funds generated from
the sale of loans and real estate and an increase in borrowed funds. There can
be  no  assurance that additional funds can be obtained from the sale of loans
and  real  estate  or  that  borrowed funds will continue to be available. The
liquidity  of  the  Company  and its ability to continue as a going concern is
contingent  upon  the  above  items.






Item  2.          Management's  Discussion  and Analysis or Plan of Operation.

     This report on Form 10-QSB contains forward-looking statements within the
meaning  of  Section  27A of the Securities Act of 1933 and Section 21E of the
Securities  Exchange  Act  of  1934.    The  Company  intends  that  such
forward-looking  statements  be  subject  to its safe harbors created thereby.

     The  following is a discussion and analysis of the consolidated financial
condition  of  the  Company  as  of  September  30, 1997 and of the results of
operations  for  the Company for the three months ended September 30, 1997 and
1996,  and  of  certain  factors  that  may  affect  the Company's prospective
financial  condition  and results of operations.  The following should be read
in  conjunction  with  the  unaudited  consolidated  financial  statements and
related  notes  appearing  elsewhere  herein.

OVERVIEW

     The  Company  is  a  speciality  financial  services holding company that
primarily  conducts  business  in  two  distinct  areas:

     (1)      providing viatical settlements for terminally ill individuals by
acting  as  a  broker.

     (2)          purchasing,  brokering,  acquiring, repackaging, holding for
investment  and  acting  as  a  dealer  in  portfolios  of  "owner  financed"
residential  and  "light"commercial  real  property  first  mortgage  loans,
primarily  originated  as  owner  financed  ("Mortgage  Receivables").

     The  Company's  financial  statements consolidate the assets, liabilities
and  operations  of  Private  Mortgage  Bankers,  Inc. ("P.B."), the Company's
wholly-owned special purpose subsidiary through which the Company conducts its
mortgage  purchase  operations,  and  Life  Today,  Inc.  ("Life  today"), the
Company's  wholly-owned  special  purpose subsidiary through which the Company
conducts  its  viatical  settlement  business  operations.

RECENT  DEVELOPMENTS

     As  of  September 30, 1997 five regularly scheduled payments of principal
and  interest on the notes to certain IRA accounts collateralized by mortgages
were  currently  and  past due. The payments total $68,004 and are included in
Accounts  Payable  and  Accrued  Expenses.  Subsequent  to  September 30, 1997
assignments passing title to the collateral mortgages were recorded by the IRA
account trustee. The effect on the financial statements of the company will be
a  significant  reduction in assets with a similar reduction in notes payable.

     Combined company losses of  $343,175 for the year ended June 30, 1997 and
additional losses of $35,387 for the quarter ended September 30, 1997 resulted
in  cash  used  by  operations  of  $273,913 and $27,661 for the same periods.
Management  is  therefore  keeping  operations  at  a  minimum while seeking a
business  solution.  No  assurance  can  be made that a viable solution can be
found  that  will    allow  the  company  to  continue  as  a  going  concern.

RESULTS  OF  OPERATIONS

          BROKERAGE  INCOME  -  The  company  closed 1 mortgage and 6 viatical
transactions for a total amount of $34,587 (an average of $4,941 each) for the
three  months  ended  September  30,  1997  and  3  mortgage  and  12 viatical
transactions  for  a  total  amount of $108,551 (an average of $7,237 each)for
same  period  in  1996.

          GAIN  ON  LOAN  SALES - The company sold 2 loans for a total gain of
$4,658  for  the  quarter ended September 30, 1996, but no loans were sold for
the  quarter  ended  September  30,  1997.

          INTEREST  INCOME  -  Loans  Held  for Resale decreased $254,279 from
$1,063,939  on  September  30,  1996  to $809,660 on September 30, 1997, which
resulted  in  the  $9,012  decrease  in  interest  income.

          GAIN  ON  SALE  OF  HOUSES  - The company sold 1 house for a gain of
$16,594 for the quarter ended September 30, 1997. For the same period in 1996,
the  company  sold  2  houses  for  a  total  gain  of  $1,992.

          OTHER  OPERATING  EXPENSE  -  Other operating expense decreased from
$273,577  for  the  quarter  ended  September  30,  1996  to  $127,457 for the
respective  quarter  in  1997.  The  decrease  is  due  to less use of outside
viatical  brokers,  a  reduction  in  corporate staff and legal and accounting
services.  In  addition  Notes Payable and the Bank Line of Credit decreased a
combined  $307,090 from September 30, 1996 to September 30, 1997, resulting in
reduced  interest  expense.


LIQUIDITY  AND  CAPITAL  RESOURCES

     The  Company  used  $273,913 in cash for operations during the year ended
June  30,  1997  and  an  additional  $27,661  during  the  three months ended
September  30,  1997.  The  Company  will  require additional sums to continue
operations  in  the future without a significant increase in brokerage income.
There  can  be  no  assurance  that  any  increase  in brokerage income can be
obtained. The Company's other primary sources of cash during those periods was
funds  generated  from  the  sale  of loans and real estate and an increase in
borrowed  funds.  There  can  be  no  assurance  that  additional funds can be
obtained  from  the  sale of loans and real estate or that borrowed funds will
continue  to  be  available.  The  liquidity of the Company and its ability to
continue  as  a  going  concern  is  contingent  upon  the  above  items.

     Management  is currently keeping operations and related expenditures at a
minimum  while  investigating  possible  alternative  courses  of  action.

     As  of  September  30,  1997,  the Company's current liabilities exceeded
current  assets by $636,821, a ratio of 1.7 to 1. The available cash of $5,253
represented  .6%  of  total  current  assets.  Cash flow required by operating
activities  decreased  by 43.9% ($21,670) form the quarter ended June 30, 1997
to  the  quarter  ended  September  30,  1997.



                          PART II - OTHER INFORMATION

Item  1.          Legal  Proceedings.

          None;  not  applicable.

Item  2.          Changes  in  Securities.

          None;  not  applicable.

Item  3.          Defaults  Upon  Senior  Securities.

          None;  not  applicable.

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

Item  5.          Other  Information.

          None;  not  applicable

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

          (a)          Exhibits.

               27          Financial  Data  Sheet


          (b)          Reports  on  Form  8-K.

July  21, 1997 the company filed Form 8-K to report a restructuring as of June
30, 1997 whereby dormant subsidiaries were spun-off as non reporting companies
to  the shareholders as of that date.  This report is incorporatedby reference
herein.





                                  SIGNATURES

          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.



                         NOTE  BANKERS  OF  AMERICA,  INC.


                              
Date: November 10, 1997   By  /S/  E.  Donald  DeYoung
                              __________________________________________
                              E.  Donald  DeYoung,  Director/President



                            
Date:  November 10, 1997  By  /S/  Allen  E.  Myers
                              __________________________________________
                              Allen  E.  Myers,  Director/CEO


                             

Date:  November 10, 1997  By  /S/  Louis  J.  Blenderman
                              __________________________________________
                              Louis  J.  Blenderman,  Director