SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-K/A
                                 Amendment No. 1


(Mark One)

/ x /  Annual report pursuant to section 13 or 15(d) of the Securities 
       Exchange Act of 1934 for the fiscal year ended December 31, 1997

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

Commission File No.:  333-40467



                                     Life
                        Home Loan Owner Trust 1997-03
             (Exact name of registrant as specified in its charter)

NY                                            Pending
(State or other jurisdiction                        (I.R.S. Employer
of incorporation or organization)                   Identification No.)


c/o Norwest Bank Minnesota, N.A.
7485 New Horizon Way
Frederick, MD                                        21703
(Address of principal executive                     (Zip Code)
offices)

Registrant's telephone number, including area code (301) 696-7900



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

Securities registered pursuant to Section 12(g) of the Act:  NONE



     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__


This Amendment No. 1 on Form 10-K/A amends Item 14 of the original Annual Report
on Form 10-K (the  "Original  Form 10-K") filed on March 26, 1998,  on behalf of
Life Home Loan Owner  Trust  1997-03  established  pursuant  to a  Adminstration
Agreement among Life Bank, (the "Company"), and Norwest Bank Minnesota, National
Association, as Indenture Trustee and Administrator,  pursuant to which the Life
Home Loan Owner Trust 1997-03  registered  under the Securities Act of 1933 (the
"Certificates")  were issued.  Item 14 of the  Original  Form 10-K is amended to
read in its entirety as follows:

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

     (a)  Exhibits

          99.1  Annual Independent  Accountants'  Servicing  Reports  concerning
                servicing activities for the year ended December 31, 1997.

               (a) Life Financial Corporation, as Servicer<F1>

          99.2  Report of Management  as to  Compliance  with Minimum  Servicing
                Standards for the year ended  December 31, 1997.

               (a) Life Financial Corporation, as Servicer <F1>

          99.3  Annual Statements of Compliance  under the Pooling and Servicing
                Agreements for the year ended  December 31, 1997.

               (a) Life Bank, as Servicer <F1>

          99.4  Aggregate Statement of Principal and Interest
                Distributions to Certificate Holders.
                
                No distributions to certificate holders were made during 1997
 
     (b)  On December 24, 1997, a report on Form 8-K was filed by the Company in
          order  to  provide  the  Pooling  and  Servicing   Agreement  for  the
          Certificates.

          No other reports on Form 8-K have been filed during the last quarter 
          of the period covered by this report.

     (c)  Not applicable.

     (d)  Omitted.

<F1>  Filed herewith.






                                    SIGNATURE

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:


Life Financial Services,
Home Loan Owner Trust 1997-03


Signed     NORWEST BANK MINNESOTA, N.A.,
           as Indenture Trustee
By:        /s/Sherri J. Sharps
By:        Sherri J. Sharps
Title:  Vice President -- Securities Administration Services
Dated:  August 31, 1998




EXHIBIT INDEX

Exhibit No.

99.1 Annual  Independent  Accountants'  Servicing Reports  concerning  servicing
     activities for the year ended December 31, 1997.


     (a)  Life Financial Corporation, as Servicer <F1>

99.2 Report of Management as to Compliance with Minimum Servicing  Standards for
     the year ended December 31, 1997.

     (a) Life Financial Corporation, as Servicer <F1>

99.3 Annual Statements of Compliance for the year ended December 31, 1997.

     (a) Life Bank, as Servicer <F1>

99.4 Aggregate Statement of Principal and Interest  Distributions to Certificate
     Holders.  

     No distributions to certificate holders were made during 1997
 

<F1>  Filed herewith.