UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                         Washington, D.C. 20549
                                 FORM 10-Q

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

             For the quarterly period ended September 30, 1996
          
                                      OR
          
	   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 333-1614

                     BENEFICIAL MORTGAGE CORPORATION
                     (Depositor and Master Servicer)

                BENEFICIAL HOME EQUITY LOAN TRUST 1996-1
(Issuer in Respect of the Beneficial Home Equity Loan Asset Backed Certificates)

          (Exact name of registrant as specified in its charter)

New York (Issuer)                                     11-3314368 (Issuer)
(State or other jurisdiction of           (I.R.S. Employer Identification No.)
incorporation or organization)       

          
301 North Walnut Street
Wilmington, Delaware                                          19801
(Address of principal executive offices)                    (Zip Code)


     Registrant's telephone number, including area code:  (302) 425-2500



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 twelve 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

The registrant is a trust with no common stock outstanding.







PART I. FINANCIAL INFORMATION


Item 1.  	Financial Statements 

                      Beneficial Home Equity Trust 1996-1
                                Balance Sheet
                             September 30, 1996


                                   ASSETS

Cash											                                                     		$  0

Total Assets									                                               		$  0


                       OWNER'S BENEFICIAL INTEREST

Owner's Beneficial Interest							                                  		$  0

Total Owner's Beneficial Interest						                             		$  0


See Notes to Financial Statements.




                      Beneficial Home Equity Trust 1996-1
                           Statement of Cash Flows
              For the Period April 30, 1996 (date of formation)
                            to September 30, 1996


Cash Flow from Operating Activities:

	Net Proceeds from Issuance of Beneficial Home Equity Loan
	  Asset Backed Certificates (including accrued interest)     	$1,201,345,000

	Net Cash Flows Representing the Purchase of Mortgage
	  Loans (including accrued interest)			                      	(1,201,345,000)

	Principal and Interest Payments Collected				                    223,919,786 

	Principal and Interest Payments Disbursed				                   (223,919,786)

	Net Increase in Cash							                                        	       0

	Cash Balance, Beginning of Period					                             	       0
	
	Cash Balance, End of Period					                                  $	       0



See Notes to Financial Statements.



                     Beneficial Home Equity Trust 1996-1
                        Notes to Financial Statements
                             September 30, 1996


Note 1.	Organization and Operations

		Beneficial Home Equity Loan Trust 1996-1 (the "Trust") 
is a trust established on April 30, 1996, under the laws of the 
State of New York, pursuant to a Pooling and Servicing Agreement 
dated as of April 1, 1996 (the "Pooling and Servicing Agreement"), 
between Beneficial Mortgage Corporation (the "Master Servicer" and 
"Depositor") and The Chase Manhattan Bank (National Association), 
acting thereunder not in its individual capacity but solely as 
trustee.  The trust's only purposes are to hold a pool of Home 
Equity Loans and to issue securities.  The Securities consist of 
one class of senior certificates (the "Class A Certificates") and 
three classes of subordinated certificates (the "Class M 
Certificates", the "Class B Certificates" and the "residual 
certificates", respectively).  All of the Certificates except the 
residual certificates were offered and sold to the public.  The 
Certificates represent obligations solely of the Trust.  The Trust 
receives specified portions of payments received from the related 
Home Equity Loans subsequent to March 31, 1996, as set forth in 
the Pooling and Servicing Agreement.

		The owners of the Certificates are the beneficial 
owners of the Home Equity Loans.  The value of the Certificates 
issued by the Trust equaled the value of the Home Equity Loans 
conveyed to the Trust by the Master Servicer and Depositor; 
therefore, no assets or liabilities are reflected on the Trust's 
balance sheet.  Also, there was no income or expense or gain or 
loss to the Trust resulting from the transaction; therefore, no 
statement of income has been presented.

		As of September 30, 1996, the Trust had an aggregate 
unpaid certificate balance of $977,425,214.


Note 2.	Income Taxes.

		An election has been made to treat the Trust as a Real 
Estate Mortgage Investment Conduit ("REMIC") for federal income 
tax purposes.  As such, the Trust will not be subject to federal, 
state or local income taxes.





                Beneficial Home Equity Loan Trust 1996-1

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

RESULTS OF OPERATIONS

		On April 30, 1996, the Trust issued $1,072,200,000 
aggregate principal amount of Class A Certificates having a pass-
through rate equaling the lessor of the London interbank offered 
rate for one-month U.S. dollar deposits ("LIBOR") plus 18 basis 
points and the weighted average of the Net Loan Rates (as defined 
below); $66,074,000 aggregate principal amount of Class M 
Certificate having a pass-through rate equaling the lessor of 
LIBOR plus 28 basis points and the weighted average of the Net 
Loan Rates; $63,071,000 aggregate principal amount of Class B 
Certificates having a pass-through rate of the lessor of LIBOR 
plus 25 basis points and the weighted average Net Loan Rates.  The 
Net Loan Rate is the rate of interest applicable to each Home 
Equity Loan less the servicing fee.  All Certificates represent an 
undivided interest in the Trust which holds a pool of Home Equity 
Loans.  The sale of the Home Equity Loans to the Trust, the 
issuance of the Certificates, and the simultaneous delivery of the 
Certificates to the Master Servicer for sale by Morgan Stanley & 
Co. Inc., Bear, Stearns & Co. Inc., J.P. Morgan & Co., Merrill 
Lynch & Co., Salomon Brothers Inc., and UBS Securities LLC. 
pursuant to a public offering have been accounted for as a sale of 
Home Equity Loans by the Master Servicer and Depositor.  The value 
of the Certificates issued by the Trust equaled the value of the 
Home Equity Loans conveyed to the Trust by the Master Servicer and 
Depositor. Accordingly, there was no income, expense, or gain or 
loss resulting to the Trust from the aforementioned transaction.

CHANGES IN CASH FLOW

		The Trust's primary sources of funds with respect to 
the Certificates are receipts of interest and principal on the 
Home Equity Loans, along with certain insurance proceeds, certain 
proceeds obtained from Liquidated Home Equity Loans and any 
investment income earned thereon, if any.  The management of the 
Master Servicer believes that the Trust will have sufficient 
liquidity and capital resources to pay all amounts of the 
Certificates as they become due and all other anticipated expenses 
of the Trust.  The Trust does not have, nor will it have in the 
future, any significant source of capital for payment of the 
Certificates other than the receipt of interest and principal from 
the  Home Equity Loans.  The Trust is a limited purpose Trust.  
The Certificates represent obligations solely of the Trust.




                 Beneficial Home Equity Loan Trust 1996-1

                     PART II. OTHER INFORMATION

Item 6	   Exhibits and Reports on Form 8-K.

		(a)  Exhibits

		   *  20.1   Beneficial Home Equity Loan Asset Backed Certificates, 
         					 Series 1996-1 Statement to Certificateholders, dated 
				           October 28, 1996.

     			20.2	 Beneficial Home Equity Loan Asset Backed Certificates, 
        					 Series 1996-1 Statement to Certificateholders, dated 
				          September 30, 1996, is incorporated by reference to Exhibit 
          			 20.1 of the Form 8-K dated September 30, 1996.

     			20.3	 Beneficial Home Equity Loan Asset Backed Certificates,  
        					 Series 1996-1 Statement to Certificateholders, dated 
				          August 28, 1996, is incorporated by reference to Exhibit 	
          			 20.1 of the Form 8-K dated August 28, 1996.

		(b)  The Trust filed the following report on Form 8-K during the period
		     covered by this Form 10-Q:

	  1)	A report on Form 8-K, dated August 28, 1996, relating to the 	
      Beneficial Home Equity Loan Asset Backed Certificates, Series 
		    1996-1 Statement to Certificateholders, dated August 28, 1996.

	  2)	A report on Form 8-K, dated September 30, 1996, relating to the 
     	Beneficial Home Equity Loan Asset Backed Certificates, Series 
		    1996-1 Statement to Certificateholders, dated September 30, 1996.


*  Filed herewith.



                   Beneficial Home Equity Loan Trust 1996-1

                                 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 behalf of Beneficial Home Equity Loan 
Trust 1996-1 by the undersigned, thereunto duly authorized.



                           				BENEFICIAL HOME EQUITY LOAN TRUST 1996-1
					                                     	Registrant

                           				By:	Beneficial Mortgage Corporation
                             					(Depositor and Master Servicer)




                           				By:	/s/ Richard J. Zak
				                              	Richard J. Zak
					                              Vice President (Chief Accounting 
                                   Officer)


November 13, 1996


                 Beneficial Home Equity Loan Trust 1996-1

                             Exhibit Index
Exhibit
Number                   				Exhibit

20.1	*	   Beneficial Home Equity Loan Asset Backed Certificates, 
		        Series 1996-1 Statement to Certificateholders, dated
          October 28, 1996.

20.2		    Beneficial Home Equity Loan Asset Backed Certificates, 
		        Series 1996-1 Statement to Certificateholders, dated, 
          September 30 1996, is incorporated by reference to
          Exhibit 20.1 of the Form 8-K, dated September 30, 1996.

20.3		    Beneficial Home Equity Loan Asset Backed Certificates, 
		        Series 1996-1 Statement to Certificateholders, dated 
          August 28, 1996, is incorporated by reference to 
          Exhibit 20.1 of the Form 8-K, dated August 28, 1996


*  Filed herewith.



Exhibit 20.1
 
     STATEMENT TO CERTIFICATEHOLDERS 
 
Beneficial Mortgage Corp   Current Collection Period    28-Aug-96 to 27-Sep-96 
Beneficial Home Equity Loan Asset Backed Certificates  P&S Agreement 01-Apr-96 
      Class A Certificates, Series 1996-1 
      Class M Certificates, Series 1996-1   Original Settlement Date 30-Apr-96 
      Class B Certificates, Series 1996-1   Distribution Date        28-Oct-96 
 
 
               1 Month LIBOR                                           5.4375% 
 
               Class A Pass-Through Rate (1 mo LIBOR + 18 bps)         5.6175% 
               Class M Pass-Through Rate (1 mo LIBOR + 28 bps)         5.7175% 
               Class B Pass-Through Rate (1 mo LIBOR + 25 bps)         5.6875% 
 Distribution to Holders of Class A Certificates (per Certificate with a 
 $1,000 denomination) 
 
      1 i.     Amount Allocable to Class A Principal                 31.805731 
        ii.    Amount Allocable to Unpaid Class A Principal Shortfall 0.000000 
        iii.   Remaining Unpaid Class A Principal Shortfall After
               Such Distribution                                      0.000000 
 
      2 i.     Amount Allocable to Class A Interest                   3.686948 
        ii.    Amount Allocable to Class A Carryover Interest
               Shortfall                                              0.000000 
        iii.   Amount Allocable to Unpaid Class A Interest            0.000000 
        iv.    Remaining Unpaid Class A Interest Shortfall After
               Such Distribution                                      0.000000 
 
      3 i.     Amount of Class A Principal Shortfall For Such
               Distribution Date                                      0.000000 
        ii.    Amount of Class A Interest Shortfall For Such
               Distribution Date                                      0.000000 
 
 Distribution to Holders of Class M Certificates (per Certificate with a 
 $1,000 denomination) 
 
      4 i.     Amount Allocable to Class M Principal                  0.000000 
        ii.    Amount Allocable to Unpaid Class M Principal Shortfall 0.000000 
        iii.   Remaining Unpaid Class M Principal Shortfall After
               Such Distribution                                      0.000000 
 
      5 i.     Amount Allocable to Class M Interest                   4.446944 
        ii.    Amount Allocable to Class M Carryover Interest
               Shortfall                                              0.000000 
        iii.   Amount Allocable to Unpaid Class M Interest Shortfall  0.000000 
        iv.    Remaining Unpaid Class M Interest Shortfall After
               Such Distribution                                      0.000000 
 
      6 i.     Amount of Class M Principal Shortfall For Such
               Distribution Date                                      0.000000 
        ii.    Amount of Class M Interest Shortfall For Such
               Distribution Date                                      0.000000 
 
 Distribution to Holders of Class B Certificates (per Certificate with a 
 $1,000 denomination) 
 
      7 i.     Amount Allocable to Class B Principal                 54.643593 
        ii.    Amount Allocable to Unpaid Class B Principal Shortfall 0.000000 
        iii.   Remaining Unpaid Class B Principal Shortfall After
               Such Distribution                                      0.000000 
 
      8 i.     Amount Allocable to Class B Interest                   3.094254 
        ii.    Amount Allocable to Class B Carryover Interest 
               Shortfall                                              0.000000 
        iii.   Amount Allocable to Unpaid Class B Interest Shortfall  0.000000 
        iv.    Remaining Unpaid Class B Interest Shortfall After
               Such Distribution                                      0.000000 
 
      9 i.     Amount of Class B Principal Shortfall For Such 
               Distribution Date                                      0.000000 
        ii.    Amount of Class B Interest Shortfall For Such
               Distribution Date                                      0.000000 
 
     10        Ending Class A Principal Balance                 870,680,354.07 
     11        Ending Class A Principal Factor                     81.2050321% 
 
     12        Ending Class M Principal Balance                  66,074,000.00 
     13        Ending Class M Principal Factor                    100.0000000% 
 
     14        Ending Class B Principal Balance                  40,670,860.40 
     15        Ending Class B Principal Factor                     64.4842485% 
 
     16 i.     Ending Pool Number of Loans                              19,216 
        ii.    Ending Pool Balance                              999,825,719.77 
 
     17 i.     Number of Mortgage Loans 30 to 59 Days Delinquent           937 
        ii.    Aggregate Principal Balances of Mortgage Loans
               30 to 59 Days Delinquent                          55,337,024.89 
        iii.   Number of Mortgage Loans 60 or More Days Delinquent         285 
        iv.    Aggregate Principal Balances of Mortgage Loans
               60 or More Days Delinquent                        22,472,261.87 
     18        Book Value of Real Estate Aquired Through
               Foreclosure or Grant of a Deed                     1,422,169.49