UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C.  20549

                                   FORM 10-QSB

             [X]  QUARTERLY  REPORT  PURSUANT  TO  SECTION 13 OR 15(D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                  For the Quarterly Period Ended June 30, 2002

                                       OR

             [ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                        For the Transition Period from to

                         Commision file number 000-24139

                         Decatur First Bank Group, Inc.
                         ------------------------------
             (Exact name of registrant as specified in its charter)

        Georgia                                          58-2254289
------------------------                    ------------------------------------
(State of Incorporation)                    (I.R.S. Employer Identification No.)

1120 Commerce Drive
Decatur, Georgia                                           30030
----------------------------------------     -----------------------------------
(Address of principal executive offices)                 (Zip Code)


                                  404-373-1000
                               ------------------
                               (Telephone Number)


     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  XX   NO
                                       --

             Common stock, par value $5 per share:   923,890 shares
                         outstanding as of July 31, 2001

                  Transitional Small Business Disclosure Format
                                   (check one)

                              Yes        No  XX
                                  --         --


<PAGE>
<TABLE>
<CAPTION>
                             DECATUR FIRST BANK GROUP, INC.

                                        INDEX


                                                                                    Page No.
                                                                                    --------
<S>                                                                                 <C>
PART I    FINANCIAL INFORMATION

  Item 1. Financial Statements

          Consolidated Balance Sheet (unaudited) at June 30, 2002                          3

          Consolidated Statements of Earnings (unaudited) for the Three Months
            and the Six Months Ended June 30, 2002 and 2001                                4

          Consolidated Statements of Comprehensive Income (unaudited) for the Six
            Months Ended June 30, 2002 and 2001                                            5

          Consolidated Statements of Cash Flows (unaudited) for the Six Months
            Ended June 30, 2002 and 2001                                                   6

          Notes to Consolidated Financial Statements (unaudited)                           7

  Item 2. Management's Discussion and Analysis of Financial Condition and
           Results of Operations                                                           8

PART II.  OTHER INFORMATION

  Item 1. Legal Proceedings                                                               10

  Item 2. Changes in Securities                                                           10

  Item 3. Defaults Upon Senior Securities                                                 10

  Item 4. Submission of Matters to a Vote of Security Holders                             10

  Item 5. Other Information                                                               10

  Item 6. Exhibits and Reports on Form 8-K                                                10
</TABLE>



This  Report  contains  statements  which  constitute 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. These statements appear in a number of
places in this Report and include all statements regarding the intent, belief or
current  expectations of the Company, its directors or its officers with respect
to, among other things: (i) the Company's financing plans; (ii) trends affecting
the  Company's financial condition or results of operations; (iii) the Company's
growth  strategy and operating strategy; and (iv) the declaration and payment of
dividends.  Investors  are  cautioned that any such forward-looking statement is
not  a guarantee of future performance and involves risks and uncertainties, and
that  actual  results  may  differ  materially  from  those  projected  in  the
forward-looking  statements  as a result of various factors discussed herein and
those  factors  discussed in detail in the Company's filings with the Securities
and  Exchange  Commission.


                                      -2-
<PAGE>
                          PART I. FINANCIAL INFORMATION

Item  1.  Financial  Statements

<TABLE>
<CAPTION>
                         DECATUR FIRST BANK GROUP, INC.

                           Consolidated Balance Sheet
                                  June 30, 2002
                                   (Unaudited)


                                     Assets
                                     ------
<S>                                                                    <C>
Cash and due from banks                                                 $  1,232,466
Federal funds sold                                                         5,101,000
                                                                        -------------

        Cash and cash equivalents                                          6,333,466

Interest bearing deposits in banks                                         2,714,553
Investment securities available-for-sale                                  26,744,717
Loans, net                                                                47,908,673
Premises and equipment, net                                                2,459,405
Accrued interest receivable and other assets                               1,155,637
                                                                        -------------

                                                                        $ 87,316,451
                                                                        =============

                       Liabilities and Stockholders' Equity
                       ------------------------------------

Liabilities:
   Deposits:
     Noninterest-bearing                                                $ 16,405,051
     Interest-bearing                                                     50,552,516
                                                                        -------------

     Total deposits                                                       66,957,567

   FHLB Advances                                                           5,000,000
   Other borrowings                                                        5,182,000
   Accrued interest payable and other liabilities                            565,865
                                                                        -------------

     Total liabilities                                                    77,705,432
                                                                        -------------

Stockholders' equity:
   Preferred stock, no par value; authorized
     2,000,000 shares; no issued shares                                            -
   Common stock, $5 par value; authorized
     10,000,000 shares; issued 944,390 shares                              4,721,950
   Additional paid-in capital                                              4,689,749
    Retained earnings                                                        282,782
    Accumulated other comprehensive income                                   175,038
    Treasury stock                                                          (258,500)
                                                                        -------------

     Total stockholders' equity                                            9,611,019
                                                                        -------------

                                                                        $ 87,316,451
                                                                        =============
</TABLE>


See accompanying notes to unaudited consolidated financial statements.


                                      -3-
<PAGE>
<TABLE>
<CAPTION>
                         DECATUR FIRST BANK GROUP, INC.

                      Consolidated Statements of Earnings

      For the Three Months and the Six Months Ended June 30, 2002 and 2001
                                  (Unaudited)


                                               Three Months           Six Months
                                               Ended June 30         Ended June 30
                                         -----------------------  --------------------
                                             2002        2001       2002       2001
                                         ------------  ---------  ---------  ---------
<S>                                      <C>           <C>        <C>        <C>
Interest income:
   Interest and fees on loans            $    810,552    821,849  1,565,497  1,698,958
   Interest on investment securities          304,204    474,204    619,558    858,460
   Other interest income                       48,571     73,717     83,733    182,390
                                         ------------  ---------  ---------  ---------

   Total interest income                    1,163,327  1,369,770  2,268,788  2,739,808
                                         ------------  ---------  ---------  ---------

Interest expense on deposits                  238,856    574,403    471,705  1,139,323
Interest expense on borrowings                105,611    120,235    201,219    193,675
                                         ------------  ---------  ---------  ---------

   Total interest expense                     344,467    694,638    672,924  1,332,998
                                         ------------  ---------  ---------  ---------

   Net interest income                        818,860    675,132  1,595,864  1,406,810
                                         ------------  ---------  ---------  ---------

Provision for loan losses                      75,000    100,000    150,000    125,000
                                         ------------  ---------  ---------  ---------

   Net interest income after provision
     for loan losses                          743,860    575,132  1,445,864  1,281,810
                                         ------------  ---------  ---------  ---------

Other income:
   Service charges on deposit accounts         92,581     72,461    183,131    140,518
   Securities gains                            16,559     61,419     25,971     61,419
   Other operating income                      32,228     49,322     69,127     68,300
                                         ------------  ---------  ---------  ---------

      Total other income                      141,368    183,202    278,229    270,237
                                         ------------  ---------  ---------  ---------

Other expense:
   Salaries and other personnel expense       357,207    327,689    703,022    655,335
   Net occupancy and equipment expense         74,681     82,127    144,203    165,491
   Other operating expense                    269,267    234,503    519,566    466,865
                                         ------------  ---------  ---------  ---------

      Total other expense                     701,155    644,319  1,366,791  1,287,691
                                         ------------  ---------  ---------  ---------

      Earnings before income taxes            184,073    114,015    357,302    264,356

      Income tax expense                       68,122     43,322    133,949    100,448
                                         ------------  ---------  ---------  ---------

      Net earnings                       $    115,951     70,693    223,353    163,908
                                         ============  =========  =========  =========

Earnings per common share:
   Basic earnings per share              $        .13        .08        .24        .17
                                         ============  =========  =========  =========
   Diluted earnings per share            $        .13        .07        .23        .17
                                         ============  =========  =========  =========
</TABLE>


See accompanying notes to unaudited consolidated financial statements.


                                      -4-
<PAGE>
<TABLE>
<CAPTION>
                                  DECATUR FIRST BANK GROUP, INC.

                          Consolidated Statements of Comprehensive Income

                          For the Six Months Ended June 30, 2002 and 2001


                                                                                 2002       2001
                                                                               ---------  --------
<S>                                                                            <C>        <C>
Net earnings                                                                   $223,353   163,908
Other comprehensive income, net of tax:
  Unrealized gains on investment securities available-for-sale arising during
                  the period, net of $147,822 and $115,706, respectively        241,184   188,783
  Realized gains on sales of investment securities available-for-sale,
  net of income tax expense of $9,869 and $23,339, respectively                 (16,102)  (38,080)
                                                                               ---------  --------

Other comprehensive income                                                      225,082   150,703
                                                                               ---------  --------

Comprehensive income                                                           $448,435   314,611
                                                                               =========  ========
</TABLE>


See accompanying notes to unaudited consolidated financial statements.


                                      -5-
<PAGE>
<TABLE>
<CAPTION>
                                      DECATUR FIRST BANK GROUP, INC.

                                   Consolidated Statements of Cash Flows

                              For the Six Months Ended June 30, 2002 and 2001
                                                (Unaudited)



                                                                                     2002           2001
                                                                                 -------------  ------------
<S>                                                                              <C>            <C>
Cash flows from operating activities:
  Net earnings                                                                   $    223,353       163,908
    Adjustments to reconcile net earnings to net
    cash provided by operating activities:
    Provision for loan losses                                                         150,000       125,000
    Depreciation, amortization and accretion                                          115,467       100,607
    Securities gains                                                                  (25,971)      (61,419)
    Provision for stock awards                                                          5,805         6,005
    Change in other                                                                   152,148       219,333
                                                                                 -------------  ------------

          Net cash provided by operating activities                                   620,802       553,434
                                                                                 -------------  ------------

Cash flows from investing activities:
  Net change in interest-bearing deposits in banks                                   (520,222)   (1,273,834)
  Proceeds from maturities and paydowns
  of investment securities available for sale                                       4,397,837     1,165,452
  Proceeds from sales of investment securities available-for-sale                   6,316,138     2,068,432
  Purchases of investment securities available for sale                            (9,740,927)  (15,850,524)
  Change in loans                                                                  (6,181,113)   (4,314,558)
  Purchases of premises and equipment                                                (601,145)      (27,451)
                                                                                 -------------  ------------

          Net cash used by investing activities                                    (6,329,432)  (18,232,483)
                                                                                 -------------  ------------

Cash flows from financing activities:
  Net change in deposits                                                            2,297,964    10,511,636
  Proceeds from advances from the Federal Home Loan Bank                                    -     5,000,000
  Net change in borrowings                                                            532,000             -
  Purchase of treasury shares                                                        (107,500)      (13,000)
                                                                                 -------------  ------------

          Net cash provided by financing activities                                 2,722,464    15,498,636
                                                                                 -------------  ------------

Net change in cash and cash equivalents                                            (2,986,166)   (2,180,413)

Cash and cash equivalents at beginning of the period                                9,319,632    12,212,516
                                                                                 -------------  ------------

Cash and cash equivalents at end of period                                       $  6,333,466    10,032,103
                                                                                 =============  ============

Noncash investing activities:
  Change in unrealized gain/loss on securities available-for-sale, net of tax    $    225,082        92,366
</TABLE>


See accompanying notes to unaudited consolidated financial statements.


                                      -6-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

                   Notes to Consolidated Financial Statements
                                   (Unaudited)


(1)  ORGANIZATION  AND  BASIS  OF  PRESENTATION

Decatur  First Bank Group, Inc. (the Company), a bank holding company, owns 100%
of the outstanding common stock of Decatur First Bank (the Bank), which operates
in the Decatur, Georgia area.  The consolidated financial statements include the
accounts of the Company and the Bank. All intercompany accounts and transactions
have  been  eliminated  in  consolidation.

The  accompanying financial statements have been prepared in accordance with the
requirements  for  interim  financial  statements  and,  accordingly,  they omit
disclosures,  which  would  substantially  duplicate those contained in the most
recent  annual  report to shareholders on Form 10-KSB.  The financial statements
as of June 30, 2002 and for the interim periods ended June 30, 2002 and 2001 are
unaudited and, in the opinion of management, include all adjustments (consisting
of normal recurring accruals) considered necessary for a fair presentation.  The
financial  information as of December 31, 2001 has been derived from the audited
financial  statements  as  of  that date.  For further information, refer to the
financial  statements  and the notes included in the Company's 2001 Form 10-KSB.

(2)  CRITICAL  ACCOUNTING  POLICIES  AND  ESTIMATES

The  Company  has  adopted  various  accounting  policies,  which  govern  the
application  of accounting principles generally accepted in the United States of
America  in  the  preparation  of  our  financial  statements.  The  Company's
significant  accounting  policies  are  described  in  the  footnotes  to  the
consolidated  financial  statements  at December 31, 2001 as filed on our annual
report  on  Form  10-KSB.

Certain accounting policies involve significant estimates and assumptions by the
Company,  which  have  a material impact on the carrying value of certain assets
and liabilities.  The Company considers these accounting policies to be critical
accounting policies.  The estimates and assumptions used are based on historical
experience  and  other  factors,  which  are believed to be reasonable under the
circumstances.  Because  of  the  nature  of the estimates and assumptions made,
actual  results  could  differ  from these estimates and assumptions which could
have  a material impact on carrying values of assets and liabilities and results
of  operations.

The Company believes that the allowance for loan losses is a critical accounting
policy  that  requires  the  most  significant  judgments  and estimates used in
preparation  of  its consolidated financial statements.  Refer to the portion of
management's  discussion  and  analysis  of  financial  condition and results of
operations that addresses the allowance for loan losses for a description of the
Company's  processes  and  methodology  for  determining  the allowance for loan
losses.

(3)  EARNINGS  PER  SHARE

Net earnings per common share are based on the weighted average number of common
shares  outstanding  during  each  period.  The calculation of basic and diluted
earnings  per  share  is  as  follows:

<TABLE>
<CAPTION>
                                                    Three Months        Six Months
                                                   Ended June 30       Ended June 30
                                               --------------------  ----------------
                                                  2002       2001     2002     2001
                                               -----------  -------  -------  -------
<S>                                            <C>          <C>      <C>      <C>
Basic earnings per share:
Net earnings                                   $   115,951   70,693  223,353  163,908
Weighted average common shares outstanding         923,890  942,497  930,870  942,861
Per share amount                               $       .13      .08      .24      .17
                                               ===========  =======  =======  =======

Diluted earnings per share:
Net earnings                                   $   115,951   70,693  223,353  163,908
Effect of dilutive securities - stock options       20,749   18,469   20,749   18,469
Diluted earnings per share                     $       .13      .07      .23      .17
                                               ===========  =======  =======  =======
</TABLE>


                                      -7-
<PAGE>
Item  2.
                         DECATUR FIRST BANK GROUP, INC.

           MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
                            AND RESULTS OF OPERATIONS

            For the Three and Six Months Ended June 30, 2002 and 2001

The  following  is  a  discussion of our financial condition as of June 30, 2002
compared  to  December 31, 2001, and the results of operations for the three and
six  months  ended  June  30,  2002  and 2001.  These comments should be read in
conjunction  with  our  consolidated  financial  statements  and  accompanying
footnotes  appearing  in  this  report.  This  report  contains "forward-looking
statements"  relating to, without limitation, future economic performance, plans
and  objectives of management for future operations, and projections of revenues
and  other  financial  items that are based on the beliefs of our management, as
well  as  assumptions  made  by  and  information  currently  available  to  our
management.  The  words  "expect",  "estimate",  "anticipate", and "believe", as
well  as  similar  expressions,  are  intended  to  identify  forward-looking
statements.  Our actual results may differ materially from the results discussed
in the forward-looking statements, and our operating performance each quarter is
subject  to  various risks and uncertainties that are discussed in detail in our
filings  with  the  Securities  and  Exchange  Commission.

RESULTS  OF  OPERATIONS
-----------------------

NET  INTEREST  INCOME
---------------------

For  the  six months ended June 30, 2002, net interest income totaled $1,596,000
as  compared  to  $1,407,000  for the same period in 2001.  Interest income from
loans, including fees decreased $134,000 or 8% to $1,565,000 for  the six months
ended June 30, 2002.  This decrease in income was more than offset by a decrease
in  interest  expense,  which totaled $673,000 for the six months ended June 30,
2002 compared to $1,333,000 in 2001.  The increase in net interest income is due
to  the  overall  decrease  in average interest rates paid on deposit acccounts.
The  net interest margin realized on earning assets and the interest rate spread
were 4.14% and 3.60%, respectively, for the six months ended June 30, 2002.  For
the  six  months  ended June 30, 2001, the net interest margin was 3.77% and the
interest  rate  spread  was  2.82%.

For  the  quarter  ended  June  30,  2002, interest income totaled $1,163,000 as
compared to $1,370,000 for the same period in 2001.  This decrease was more than
offset by a decrease in interest expense, which totaled $344,000 for the quarter
ended  June  30,  2002  compared  to  $695,000 for the same period in 2001.  The
increase  in  net  interest  income  is  due  to the overall decrease in average
interest  rates  paid  on  deposit  acccounts.


INTEREST  RATE  SENSITIVITY  AND  ASSET  LIABILITY  MANAGEMENT
--------------------------------------------------------------

Interest  rate sensitivity measures the timing and magnitude of the repricing of
assets  compared  with  the repricing of liabilities and is an important part of
asset/liability  management  of  a  financial  institution.  The  objective  of
interest  rate  sensitivity  management  is  to  generate  stable  growth in net
interest  income,  and  to  control  the  risks  associated  with  interest rate
movements.  Management  constantly  reviews  interest rate risk exposure and the
expected  interest  rate  environment  so  that  adjustments  in  interest  rate
sensitivity  can be timely made.  Since the assets and liabilities of a bank are
primarily  monetary  in  nature  (payable  in  fixed, determinable amounts), the
performance  of  a  bank  is  affected more by changes in interest rates than by
inflation.  Interest  rates  generally  increase  as  the  rate  of  inflation
increases,  but  the  magnitude  of  the  change  in  rates may not be the same.

Net  interest  income  is  the  primary  component  of  net income for financial
institutions.  Net  interest  income  is affected by the timing and magnitude of
repricing  of as well as the mix of interest sensitive and noninterest sensitive
assets and liabilities.  "Gap" is a static measurement of the difference between
the  contractual  maturities or repricing dates of interest sensitive assets and
interest  sensitive  liabilities  within the following twelve months.  Gap is an
attempt  to  predict  the  behavior of the Bank's net interest income in general
terms  during periods of movement in interest rates.  In general, if the Bank is
asset  sensitive,  more of its interest sensitive assets are expected to reprice
within  twelve  months  than  its  interest  sensitive liabilities over the same
period.  In a rising interest rate environment, assets repricing more quickly is
expected  to  enhance  net  interest income.  Alternatively, decreasing interest
rates would be expected to have the opposite effect on net interest income since
assets  would  theoretically  be  repricing at lower interest rates more quickly
than  interest  sensitive  liabilities.  Although  it  can  be used as a general
predictor,  Gap  as  a  predictor  of  movements  in  net  interest  income  has


                                      -8-
<PAGE>
limitations  due  to the static nature of its definition and due to its inherent
assumption  that  all  assets  will  reprice  immediately  and  fully  at  the
contractually  designated time.  At June 30, 2002, the Bank, as measured by Gap,
is in an asset sensitive position.  Management has several tools available to it
to  evaluate  and  affect interest rate risk, including deposit pricing policies
and  changes  in  the  mix of various types of assets and liabilities.  For more
information  on asset-liability management, see the annual report of Form 10-KSB
filed  with  the  Securities  and  Exchange  Commission.




                                      -9-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  -  continued
--------------

PROVISION  AND  ALLOWANCE  FOR  LOAN  LOSSES
--------------------------------------------

The  provision  for  loan  losses  is  the  charge  to  operating  earnings that
management  believes  is  necessary  to maintain the allowance for possible loan
losses  at an adequate level.  The provision charged to expense was $150,000 for
the  six  months  ended June 30, 2002 as compared to $125,000 for the six months
ended  June  30,  2001.  The  provision  for the quarter ended June 30, 2002 was
$75,000  compared  to $100,000 for the same period in 2001.  The increase in the
provision has been a result of management's efforts to increase the allowance to
match the growth in the loan portfolio.  The allowance for loan losses was 1.31%
of  gross loans at June 30, 2002.  There are risks inherent in making all loans,
including  risks  with  respect  to  the  period of time over which loans may be
repaid,  risks resulting from changes in economic and industry conditions, risks
inherent  in  dealing  with  individual  borrowers,  and,  in  the  case  of  a
collateralized  loan,  risks resulting from uncertainties about the future value
of the collateral.  We anticipate maintaining an allowance for loan losses based
on,  among  other  things,  historical  experience,  an  evaluation  of economic
conditions,  and  regular  reviews  of delinquencies and loan portfolio quality.
Our  judgment  about  the  adequacy  of  the allowance is based upon a number of
assumptions  about  future  events, which we believe to be reasonable, but which
may  not prove to be accurate.  Thus, there is a risk that charge-offs in future
periods  could  exceed  the  allowance  for  loan  losses  or  that  substantial
additional  increases  in  the  allowance  for  loan  losses  could be required.
Additions to the allowance for loan losses would result in a decrease of our net
income  and,  possibly,  our  capital.

NONINTEREST  INCOME
-------------------

Noninterest  income  for  the six months ended June 30, 2002 totaled $278,000 as
compared  to  $270,000  for the six months ended June 30, 2001.  The increase in
noninterest income was due to an increase in service charges on deposit accounts
during  the  six  months  ended  June 30, 2002 as compared to the same period in
2001.

Noninterest  income  for  the  quarter  ended  June 30, 2002 totaled $141,000 as
compared  to  $183,000  for  the  quarter  ended June 30, 2001.  The decrease in
noninterest  income was due to a large gain recognized on the sale of investment
securities  available-for-sale  during  the  quarter  ended  June  30,  2001.

NONINTEREST  EXPENSE
--------------------

Total  noninterest expense for the six months ended June 30, 2002 was $1,367,000
as  compared  to  $1,288,000  for  the  same  period in 2001.  Total noninterest
expense  for  the  three  months ended June 30, 2002 was $701,000 as compared to
$644,000  for  the  same  period  in  2001.  Salaries  and benefits, the largest
component of noninterest expense, totaled $703,000 for the six months ended June
30,  2002,  compared  to  $655,000  for  the  same period a year ago and totaled
$357,000  for the quarter ended June 30, 2002, compared to $328,000 for the same
period  in 2001. These increases were due to an increaese in staff to handle the
increased  number  of  customers  and  normal salary increases.  Other operating
expenses  were  $520,000  for  the six months ended June 30, 2002 as compared to
$467,000 for the six months ended June 30, 2001.  These increases in noninterest
expenses  are  due  to  the  continued  growth  of  the  Bank.

INCOME  TAXES
-------------

Income tax expense for the six and three months ended June 30, 2002 was $134,000
and  $68,000,  respectively.   Income  tax  expense for the six and three months
ended  June  30, 2001 was $100,000 and $43,000, respectively.  The effective tax
rate  was  approximately  37%  for  all  periods  presented.

NET  EARNINGS
-------------

The  combination  of  the above factors resulted in net earnings of $223,000 for
the  six  months ended June 30, 2002 compared to net earnings for the six months
ended  June 30, 2001 of $164,000.   Net earnings for the quarters ended June 30,
2002 and 2001 were $116,000 and $71,000, respectively.  Basic earnings per share
was  $.24  for the six months ended June 30, 2002 compared to basic earnings per
share  of  $.17  for the same period in 2001.  Basic earnings per share was $.13
for the quarter ended June 30, 2002 compared to basic earnings per share of $.08
for  the  quarter  ended  June  30,  2001.


                                      -10-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.


ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  --  continued
--------------

ASSETS  AND  LIABILITIES
------------------------

During  the  first six months of 2002, total assets increased $3,296,000, or 4%,
when  compared  to December 31, 2001. The primary source of growth in assets was
loans,  which increased $6,031,000, or 14%, during the first six months of 2002.
Investment  securities available-for-sale  decreased  $289,000 from December 31,
2001  to  $27,062,000 at June 30, 2002.  Total deposits increased $2,298,000, or
4%,  from  the  December  31,  2001  amount  of  $64,660,000.

INVESTMENT  SECURITIES
----------------------

Investment  securities available-for-sale decreased $289,000 from $27,351,000 at
December  31, 2001 to $27,062,000 at June 30, 2002. This decrease was the result
of  funds  being  invested  in  loans.  All  of the Bank's marketable investment
securities  were  designated  as  available-for-sale  at  June  30,  2002.

PREMISES  AND  EQUIPMENT
------------------------

Premises  and  equipment,  net  of  depreciation, totaled $2,459,000 at June 30,
2002.  The  increase of $507,000 from the December 31, 2001 amount of $1,952,000
was  due  to  the  purchase of the main office of the Bank, which had previously
been  leased.

LOANS
-----

Gross  loans  totaled $48,546,000 at June 30, 2002, an increase of $6,073,000 or
14% since December 31, 2001.  The largest increase in loans was in Real estate -
mortgage,  which  increased  $6,677,000  or 26% to $32,683,000 at June 30, 2002.
Balances  within  the  major loans receivable categories as of June 30, 2002 and
December  31,  2001  are  as  follows:


                                             June 30, 2002   December 31, 2001
                                             --------------  ------------------
Commercial, financial and agricultural       $    9,674,142  $       11,142,289
Real estate - construction                        4,058,027           2,913,723
Real estate - mortgage                           32,683,282          26,005,923
Consumer                                          2,130,261           2,410,904
                                             --------------  ------------------

                                             $   48,545,712  $       42,472,839
                                             ==============  ==================


                                      -11-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  -  continued
--------------

ALLOWANCE FOR LOAN LOSSES
-------------------------

Activity in the Allowance for Loan Losses is as follows:

<TABLE>
<CAPTION>
                                                                June 30,
                                                       --------------------------
                                                           2002          2001
                                                       ------------  ------------
<S>                                                    <C>           <C>
 Balance, January 1,                                   $   595,279   $   534,568
 Provision for loan losses for the period                  150,000       125,000
 Net loans (charged off) recovered for the period         (108,241)         (156)
                                                       ------------  ------------

 Balance, end of period                                $   637,038   $   659,412
                                                       ============  ============

 Gross loans outstanding, end of period                $48,545,712   $39,641,510
                                                       ============  ============

 Allowance for loan losses to gross loans outstanding         1.31%         1.66%
                                                       ============  ============
</TABLE>

DEPOSITS
--------

At June 30, 2002 total deposits increased by $2,298,000, or 4% from December 31,
2001.   Noninterest-bearing  demand  deposits  increased  $1,762,000  or 12% and
interest-bearing  deposits  increased  $536,000  or  1%.

Balances  within  the  major deposit categories as of June 30, 2002 and December
31,  2001  as  follows:

<TABLE>
<CAPTION>
                                           June 30, 2002   December 31, 2001
                                           --------------  ------------------
<S>                                        <C>             <C>
Noninterest-bearing demand deposits        $   16,405,051  $       14,642,748
Interest-bearing demand deposits               22,047,220          23,201,847
Savings deposits                                1,417,044           1,353,884
Certificates of deposit $100,000 and over      11,341,428           9,387,020
Other time deposits                            15,746,823          16,074,104
                                           --------------  ------------------

                                           $   66,957,567  $       64,659,603
                                           ==============  ==================
</TABLE>

LIQUIDITY
---------

The  Company's  liquidity  needs  include  the  funding  of  loans, purchases of
operating  assets,  etc.  Liquidity  needs  are  met  by  us  through  scheduled
maturities  of  loans  and  investments  on  the  asset side and through pricing
policies on the liability side for interest-bearing deposit accounts.  The level
of liquidity is measured by the loan-to-total borrowed funds ratio, which was at
63%  at  June  30,  2002  and  66%  at  December  31,  2001.

The  Company  is a party to financial instruments with off-balance-sheet risk in
the  normal  course  of  business  to meet the financing needs of its customers.
These  financial  instruments  consist of commitments to extend credit and loans
sold with limited recourse.  Commitments to extend credit are agreements to lend
to  a  customer as long as there is no violation of any condition established in
the  contract.  Commitments  generally  have  fixed  expiration  dates  or other
termination clauses and may require payment of a fee.  A commitment involves, to
varying  degrees,  elements  of  credit  and interest rate risk in excess of the
amount  recognized in the balance sheets.  The Company's exposure to credit loss
in  the  event  of  non-performance  by  the  other  party  to the instrument is
represented  by  the  contractual  notional  amount  of  the  instrument.


                                      -12-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS--  continued
--------------

LIQUIDITY  -  continued
---------

Since  certain  commitments are expected to expire without being drawn upon, the
total  commitment amounts do not necessarily represent future cash requirements.
The  Company  uses  the  same  credit  policies  in  making  commitments  to
extend  credit  as  it  does  for  on-balance-sheet  instruments.

Collateral held for commitments to extend credit varies but may include accounts
receivable,  inventory,  property,  plant,  equipment,  and  income-producing
commercial  properties.

The  following  table  summarizes  the  Company's  off-balance-sheet  financial
instruments  whose  contract  amounts represent credit risk as of June 30, 2002:

           Commitments to extend credit        $  15,134,000
           Standby letters of credit           $     128,000


Management is not aware of any significant concentrations of loans to classes of
borrowers or industries that would be affected similarly by economic conditions.
Although  the Bank's loan portfolio is diversified, a substantial portion of its
borrowers'  ability  to  honor  the  terms  of  their  loans is dependent on the
economic  conditions  in  DeKalb  County  and  surrounding  areas.

We  also  have  obtained  lines  of credit available with correspondent banks to
purchase  federal  funds  for  periods  from  one  to  fourteen  days.

CAPITAL  RESOURCES
------------------

Total  shareholders'  equity  increased  from $9,264,000 at December 31, 2001 to
$9,611,000 at June 30, 2002.  This increase was attributable to net earnings for
the  period and an increase in accumulated other comprehensive income, partially
offset  by  an  increase  in  treasury  stock.

Bank  holding companies, such as us, and their banking subsidiaries are required
by  banking regulators to meet certain minimum levels of capital adequacy, which
are  expressed  in the form of certain ratios.  Capital is separated into Tier 1
capital  (essentially  common  shareholders'  equity less intangible assets) and
Tier  2  capital  (essentially the allowance for loan losses limited to 1.25% of
risk-weighted  assets).  The  first two ratios, which are based on the degree of
credit  risk  in  our  assets, provide the weighting of assets based on assigned
risk  factors  and  include off-balance sheet items such as loan commitments and
stand-by letters of credit.  The ratio of Tier 1 capital to risk-weighted assets
must be at least 4.0% and the ratio of total capital (Tier 1 capital plus Tier 2
capital)  to  risk-weighted  assets must be at least 8.0%.  The capital leverage
ratio  supplements  the  risk-based  capital  guidelines.


                                      -13-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS--continued
--------------

CAPITAL  RESOURCES  --  continued
------------------

Banks  and  bank  holding  companies are required to maintain a minimum ratio of
Tier  1  capital  to  adjusted  quarterly  average  total  assets  of  3.0%.

The  following table summarizes the Bank's risk-based capital ratios at June 30,
2002:


  Tier 1 capital (to risk-weighted assets)                            14.70%
  Total capital (to risk-weighted assets)                             15.70%
  Tier 1 capital (to total average assets)                            11.04%


REGULATORY  MATTERS
-------------------

From  time  to  time, various bills are introduced in the United States Congress
with  respect  to  the  regulation  of financial institutions.  Certain of these
proposals,  if  adopted,  could significantly change the regulation of banks and
the  financial  services  industry.  We  cannot  predict  whether  any  of these
proposals  will  be adopted or, if adopted, how these proposals would affect us.

RECENT  ACCOUNTING  PRONOUNCEMENTS
----------------------------------

Accounting  standards  that  have  been  issued  or  proposed  by  the Financial
Accounting  Standards Board that do not require adoption until a future date are
not  expected to have a material impact on the consolidated financial statements
upon  adoption.


                                      -14-
<PAGE>
                           PART II.  OTHER INFORMATION

                         DECATUR FIRST BANK GROUP, INC.



ITEM 1.   LEGAL PROCEEDINGS
          ------------------
          None

ITEM 2.   CHANGES  IN  SECURITIES
          -----------------------
          None

ITEM 3.   DEFAULTS  UPON  SENIOR  SECURITIES
          ----------------------------------
          None

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

          99.1 Certification  of  Chief  Executive  Officer  and Chief Financial
               Officer

     (b)  Reports  on  Form  8-K
          None


                                      -15-
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

                                   SIGNATURES



     In accordance with the requirements of the Exchange Act, the registrant has
caused this Report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                  DECATUR FIRST BANK GROUP, INC.



                                  By:     /S/  JUDY B. TURNER
                                          --------------------------------------
                                          Judy B. Turner
                                          President, Chief Executive Officer and
                                          Principal Financial and
                                          Accounting Officer


                                  Date:   August 13, 2002
                                          --------------------------------------


                                      -16-
<PAGE>