<PAGE>                                  
                  SECURITIES AND EXCHANGE COMMISSION
                        Washington, D.C.  20549
                                   
                                   
                               FORM 10-Q
                                   
                                   
         Quarterly Report Pursuant to Section 13 or 15 (d) of
                  the Securities Exchange Act of 1934
                                   
For the Quarterly Period Ended                       Commission File
September 30, 1996                                        No. 1-8019


             P R O V I D E N T   B A N C O R P ,   I N C .
                                   
                                   
Incorporated under                                 IRS Employer I.D.
the Laws of Ohio                                      No. 31-0982792


            One East Fourth Street, Cincinnati, Ohio  45202
                         Phone:  513-579-2000
                                   
                                   
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 ______
                                   
                                   
Indicate  the  number of shares outstanding of each  of  the  issuer's
classes  of  common stock, as of the latest practicable date:   Common
stock,  without  par  value,  outstanding  at  October  31,  1996   is
26,394,826.


                 Please address all correspondence to:
                                   
                          John R. Farrenkopf
              Vice President and Chief Financial Officer
                        Provident Bancorp, Inc.
                        One East Fourth Street
                        Cincinnati, Ohio  45202
<PAGE>
                PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS
<TABLE>
           PROVIDENT BANCORP, INC. AND SUBSIDIARIES
                 CONSOLIDATED BALANCE SHEETS
                    (Dollars in Thousands)
<CAPTION>
                                                              September 30,  December 31,
                                                                  1996           1995
                                                               (Unaudited)
<S>                                                             <C>          <C>
                            ASSETS
Cash and Noninterest Bearing Deposits                             $222,861      $213,594
Federal Funds Sold and Reverse Repurchase Agreements                 1,000             -
Investment Securities Available for Sale
  (amortized cost - $1,066,201 and $955,994)                     1,064,373       959,904
Loans and Leases (Net of Unearned Income):
  Commercial Lending:
    Commercial and Financial                                     2,364,495     2,250,542
    Mortgage                                                       470,305       448,906
    Construction                                                   219,092       266,354
    Lease Financing                                                139,913       128,686
  Consumer Lending:
    Instalment                                                     952,876     1,000,940
    Residential                                                    380,466       466,422
    Lease Financing                                                520,294       334,226
      Total Loans and Leases                                     5,047,441     4,896,076
  Reserve for Loan and Lease Losses                                (63,665)      (60,235)
      Net Loans and Leases                                       4,983,776     4,835,841
Premises and Equipment                                             104,384        90,976
Other Assets                                                       107,526       105,036
                                                                $6,483,920    $6,205,351

             LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
  Deposits:
    Noninterest Bearing                                           $493,365      $523,631
    Interest Bearing                                             3,924,778     3,654,920
      Total Deposits                                             4,418,143     4,178,551
  Short-Term Debt                                                  770,769       637,240
  Long-Term Debt                                                   665,579       820,083
  Accrued Interest and Other Liabilities                           158,267       136,940
      Total Liabilities                                          6,012,758     5,772,814
Shareholders' Equity:
  Preferred Stock, 5,000,000 Shares Authorized,
    Series D, 70,272 Issued                                          7,000         7,000
  Common Stock, No Par Value, $.44 Stated Value, 60,000,000
    Shares Authorized, 26,377,601 and 26,316,617 Issued             11,730        11,703
  Capital Surplus                                                  138,672       137,313
  Retained Earnings                                                308,615       265,017
  Reserve for Retirement of Capital Securities                       6,333         9,000
  Treasury Stock, - Shares and 1,689 Shares                              -           (38)
  Unrealized Gains (Losses) on Marketable Securities
    (net of deferred income tax)                                    (1,188)        2,542
      Total Shareholders' Equity                                   471,162       432,537
                                                                $6,483,920    $6,205,351
</TABLE>
<PAGE>
<TABLE>
     PROVIDENT BANCORP, INC. AND SUBSIDIARIES
       CONSOLIDATED STATEMENTS OF EARNINGS
                   (Unaudited)
     (In Thousands, Except Per Share Amounts)
<CAPTION>
                                                    Three Months Ended    Nine Months Ended
                                                      September 30,         September 30,
                                                     1996       1995       1996       1995
<S>                                               <C>         <C>        <C>        <C>
Interest Income:
  Interest and Fees on Loans and Leases            $113,500   $104,119   $333,678   $301,310
  Interest on Investment Securities:
    Taxable                                          17,506     13,701     49,750     35,677
    Exempt From Federal Income Taxes                    161         98        419        293
                                                     17,667     13,799     50,169     35,970
  Interest on Federal Funds Sold and
    Reverse Repurchase Agreements                       100        140        830        886
      Total Interest Income                         131,267    118,058    384,677    338,166
Interest Expense:
  Interest on Deposits:
    Savings and Demand Deposits                       5,137      5,984     15,526     20,051
    Time Deposits                                    42,702     41,806    126,392    123,994
      Total Interest on Deposits                     47,839     47,790    141,918    144,045
  Interest on Short-Term Debt                        11,822     10,783     30,538     26,279
  Interest on Long-Term Debt                         11,231      7,859     35,733     21,036
      Total Interest Expense                         70,892     66,432    208,189    191,360
        Net Interest Income                          60,375     51,626    176,488    146,806
Provision for Loan and Lease Losses                  14,000      4,000     37,750      9,000
  Net Interest Income After Provision
    for Loan and Lease Losses                        46,375     47,626    138,738    137,806
Noninterest Income:
  Service Charges on Deposit Accounts                 5,529      4,537     15,711     12,219
  Other Service Charges and Fees                      6,771      4,525     23,371     15,410
  Gain on Sales of Loans and Leases                  16,187      1,426     18,310      3,858
  Security Gains (Losses)                                 -        (92)        96        (92)
  Other                                               3,037      8,329     15,419     10,971
    Total Noninterest Income                         31,524     18,725     72,907     42,366
Noninterest Expense:
  Compensation:
    Salaries                                         16,588     16,153     46,997     43,041
    Benefits                                          2,864      2,127      8,268      6,865
    Profit Sharing                                      918      1,068      2,829      2,738
  Occupancy                                           2,324      2,334      7,151      6,679
  Equipment Expense                                   2,998      2,296      8,162      6,897
  Deposit Insurance                                   8,889        726     10,663      5,080
  Professional Fees                                   4,019      2,714      8,028      5,651
  Marketing                                           2,367        855      4,226      2,835
  Other                                              10,557      8,078     28,078     22,770
    Total Noninterest Expense                        51,524     36,351    124,402    102,556

Earnings Before Income Taxes                         26,375     30,000     87,243     77,616
Applicable Income Taxes                               9,100      8,990     30,043     25,131
  Net Earnings                                      $17,275    $21,010    $57,200    $52,485

Net Earnings Per Common Share:
  Primary                                              $.63       $.85      $2.09      $2.13
  Fully Diluted                                         .62        .76       2.05       1.92
Average Primary Shares                               27,221     23,935     27,136     23,832
Average Fully Diluted Shares                         27,991     27,486     27,852     27,345
</TABLE>
<PAGE>
<TABLE>
             PROVIDENT BANCORP, INC. AND SUBSIDIARIES
               CONSOLIDATED STATEMENTS OF CASH FLOWS
                            (Unaudited)
                      (Dollars in Thousands)
<CAPTION>
                                                                   Nine Months Ended September 30,
                                                                      1996                1995
<S>                                                                 <C>                 <C>
Operating Activities:
  Net Earnings                                                       $57,200             $52,485
  Adjustments to Reconcile Net Earnings to
    Net Cash Provided by Operating Activities:
      Provision for Loan and Lease Losses                             37,750               9,000
      Provision for Depreciation and Amortization                     12,309               9,018
      Amortization of Investment Security Discounts                   (4,735)               (606)
      Amortization of Unearned Income                                (28,139)            (16,442)
      Net (Increase) Decrease in Trading Securities                     (534)                125
      Proceeds from Sale of Loans Held for Sale                      332,956              85,245
      Origination of Loans Held for Sale                            (332,376)            (83,528)
      Realized Gains on Loans Held for Sale                          (16,269)               (964)
      Realized Gains on Sale of Loans and Leases                      (2,041)             (2,894)
      Realized Investment Security (Gains) Losses                        (96)                 92
      Increase in Interest Receivable                                 (1,186)             (3,690)
      (Increase) Decrease in Accounts Receivable and Other Assets        447             (29,527)
      Increase in Interest Payable                                     5,410              15,400
      Increase in Accounts Payable and Other Liabilities              17,925              19,959
      Other                                                              104              (2,379)
        Net Cash Provided By Operating Activities                     78,725              51,294

Investing Activities:
  Investment Securities Available for Sale:
    Proceeds from Sales                                               79,398              18,654
    Proceeds from Maturities and Prepayments                         571,106             142,706
    Purchases                                                       (676,135)           (103,825)
  Investment Securities Held to Maturity:
    Proceeds from Sales                                                    -                 416
    Proceeds from Maturities and Prepayments                               -              20,744
    Purchases                                                              -            (244,755)
  Net Increase in Loans and Leases                                  (224,646)           (433,367)
  Proceeds from Sale of Other Real Estate                              6,850               2,208
  Purchases of Premises and Equipment                                (28,866)            (29,290)
  Proceeds from Sales of Premises and Equipment                          240               2,305
    Net Cash Used In Investing Activities                           (272,053)           (624,204)

Financing Activities:
  Net Decrease in Demand and Savings Deposits                        (90,992)            (90,609)
  Net Increase in Certificates of Deposit                            330,584              73,424
  Net Increase in Short-Term Debt                                    133,529             340,408
  Principal Payments on Long-Term Debt                              (154,914)            (25,466)
  Proceeds From Issuance of Long-Term Debt                               248             150,000
  Cash Dividends Paid                                                (16,289)            (13,867)
  Proceeds from Sale of Common and Treasury Stock                      1,429               4,505
  Repurchase of Common Stock                                               -              (6,109)
    Net Cash Provided By Financing Activities                        203,595             432,286
      Increase (Decrease) in Cash and Cash Equivalents                10,267            (140,624)
  Cash and Cash Equivalents at Beginning of Period                   213,594             424,575
    Cash and Cash Equivalents at End of Period                      $223,861            $283,951

Supplemental Disclosures of Cash Flow Information:
  Cash Paid for:
    Interest                                                        $202,779            $175,960
    Income Taxes                                                      13,000               9,000
  Non-Cash Activity:
    Additions to Other Real Estate in Settlement
      of Loans and Leases                                              8,554                 539
    Reclassification of Operating Leases to (from) Lease Financing     3,439              (4,225)
    Securitization of Residential Loans                               64,025                   -
    Interest Only Strip Created from the Sale of Loans                15,689                   -
    Treasury Stock Reissued To Acquire Business                            -               1,750
</TABLE>                                   
<PAGE>                                   
               PROVIDENT BANCORP, INC. AND SUBSIDIARIES
              NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   

In  the opinion of management, the accompanying unaudited consolidated
financial  statements  contain  all adjustments  (consisting  of  only
normal  recurring  accruals)  necessary  for  fair  presentation.  The
results   of  operations  for  interim  periods  are  not  necessarily
indicative of the results to be expected for the full year.

The   financial  statements  presented  herein  should  be   read   in
conjunction  with the financial statements and notes thereto  included
in  Provident  Bancorp, Inc.'s 1995 annual report on Form  10-K  filed
with the Securities and Exchange Commission.

All  data  relating to Provident Bancorp's common stock and per  share
information  has  been  adjusted for  a  3-for-2  common  stock  split
effective May 24, 1996.

Basis of Presentation

The   consolidated  financial  statements  include  the  accounts   of
Provident Bancorp, Inc. and its subsidiaries ("Bancorp"), all of which
are   wholly   owned.  All  significant  intercompany   balances   and
transactions have been eliminated. Certain reclassifications have been
made to conform to the current year presentation.

The accompanying financial statements have been prepared in accordance
with  the  instructions to Form 10-Q and therefore do not include  all
information and footnotes necessary to be in conformity with generally
accepted accounting principles.

Bancorp  adopted Statement of Financial Accounting Standards  ("SFAS")
No.  121, "Accounting for the Impairment of Long-Lived Assets and  for
Long-Lived  Assets to Be Disposed Of" on January 1,  1996.  This  SFAS
requires  that long-lived assets and certain identifiable  intangibles
be  reviewed for impairment whenever circumstances indicate  that  the
carrying  value may not be recoverable. An impairment loss is recorded
when  the  sum  of  the expected future cash flows is  less  than  the
carrying  amount of the assets. In this situation, an impairment  loss
is  recorded  in  the  amount of the difference between  the  carrying
amount and the present value of the expected future cash flows.

SFAS  No.  122,  "Accounting for Mortgage Servicing Rights"  was  also
adopted  by Bancorp on January 1, 1996. Under this SFAS, when mortgage
loans are originated or purchased by Bancorp and subsequently sold  or
securitized  with servicing retained, the cost of the  loan  shall  be
allocated between the loan (without servicing) and the fair  value  of
the servicing. Prior to this SFAS, no costs of the loan were allocated
to  the  servicing.  Additionally, the  SFAS  specifies  how  mortgage
<PAGE>
servicing  rights and excess servicing rights should be evaluated  for
impairment.

The  adoption of SFAS No. 121 and SFAS No. 122 had no material  impact
on Bancorp's consolidated financial position or results of operations.

SFAS No. 123, "Accounting for Stock-Based Compensation" was issued  in
October, 1995. The SFAS encourages, but does not require, adoption  of
a   fair   value-based  accounting  method  for  stock-based  employee
compensation  plans.  Bancorp elected to continue  its  accounting  in
accordance  with APB Opinion No. 25, "Accounting for Stock  Issued  to
Employees",  whereby  no compensation expense is  recognized  for  the
granting  of stock options. Pro forma disclosures of what net earnings
and  earnings per share would have been had the new fair value  method
been  used will be presented in Bancorp's 1996 annual report  on  Form
10-K.

Stock Options

In  1996, Bancorp adopted a new stock option plan for the issuance  of
300,000 shares of common stock to non-executive officers. The terms of
these  options  are comparable to the terms of the 1988  Stock  Option
Plan.

Pursuant to this plan as well as Bancorp's 1988 Stock Option Plan  and
1992 Outside Director's Stock Option Plan, options to purchase 662,950
shares  of  Bancorp common stock were granted during  the  first  nine
months  of 1996. The options have exercise prices ranging from  $31.75
to $40.49.


Off-Balance Sheet Financial Agreements

In  the  normal  course  of business, Bancorp uses  various  financial
instruments  with off-balance sheet risk to manage its  interest  rate
risk  and  to meet the financing needs of its customers. At  September
30,  1996,  these off-balance sheet instruments consisted  of  standby
letters  of credit of $108.4 million, commitments to extend credit  of
$1.8  billion and interest rate swaps with a notional amount  of  $2.2
billion.

Recent Events

On  October  8,  1996, Bancorp announced the signing of  a  definitive
agreement  for  the acquisition of South Hillsborough  Community  Bank
("SHCB").  SHCB, which has $40 million in assets, is a  Florida  state
chartered  bank having three offices in Hillsborough County,  Florida.
SHCB   will  become  a  wholly  owned  subsidiary  of  Bancorp.   This
transaction will be accounted for as a purchase, and accordingly,  the
assets  acquired and liabilities assumed will be recorded at estimated
fair  value. SHCB shareholders will receive shares of common stock  of
Bancorp  having an aggregate value of $7,151,900 as a  result  of  the
merger. This transaction is expected to be consummated in late 1996 or
early 1997.
<PAGE>
Bancorp  has approximately $136 million of deposits in Florida  as  of
September 30 through its telebanking program. With the acquisition  of
SHCB,  it is Bancorp's intention to continue its expansion in  Florida
through additional acquisitions and/or internal growth.

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

Results of Operations

Summary

Bancorp's  net  earnings  for the third quarter  of  1996  were  $17.3
million  compared to $21.0 million for the third quarter of 1995.  Net
interest income increased by $8.7 million, or 17%, over the comparable
period  in 1995. Interest income increased by $13.2 million,  or  11%,
which  more than offset the $4.5 million, or 7%, increase in  interest
expense.  The  provision  for loan and lease  losses  increased  $10.0
million to cover the growth of total loans and leases and expected net
charge-offs  during 1996. Noninterest income increased $12.8  million,
or  68%,  primarily  due  to  gain  on  sales  of  loans  and  leases.
Noninterest  expense increased $15.2 million, or 42%, primarily  as  a
result  of  an  increase in deposit insurance caused  by  a  one  time
assessment  of  $8.0  million for the capitalization  of  the  Savings
Association Insurance Fund ("SAIF").

Bancorp's  net earnings for the first nine months of 1996  were  $57.2
million  compared to $52.5 million for the first nine months of  1995.
Net  interest  income increased by $29.7 million,  or  20%,  over  the
comparable period in 1995. Interest income increased by $46.5 million,
or  14%, which more than offset the $16.8 million, or 9%, increase  in
interest  expense. The provision for loan and lease  losses  increased
$28.8  million to cover an increase in the balance of total loans  and
leases  and  expected net charge-offs during 1996. Noninterest  income
increased  $30.5  million, or 72%, primarily due to  the  increase  in
other  service charges and fees and gain on sales of loans and leases.
Noninterest expense increased $21.8 million, or 21%, primarily due  to
increases  in  deposit  insurance,  professional  services  and  other
expense.
<PAGE>
As  noted  above, gain on sales of loans and leases made a significant
contribution to Bancorp's net income during the third quarter of 1996.
Of  the  $16.2 million gain recorded during this period, $14.5 million
was realized from the sale of $204.0 million of residential closed end
non-conforming  home  equity loans originated  by  Provident  Consumer
Financial  Services  ("PCFS"),  a  division  of  The  Provident   Bank
("Provident"),   Bancorp's  lead  bank.  PCFS's  goals   include   the
origination of $800 million of this product within the next  year  and
the  sale  of  at  least $100 million each quarter, market  conditions
permitting.  The  following is a summary of selected operational  data
for PCFS for the past five quarters (in millions):
<TABLE>
<CAPTION>
                                                 Quarter Ended
                             Sept. 1996  June 1996  Mar. 1996  Dec. 1995  Sept. 1995
<S>                             <C>         <C>        <C>        <C>          <C>
  Loan Originations             $107.0      $75.4      $41.2      $31.1        $.3
  Loan Sales                     204.0          -          -          -          -
  Gain on Sale of Loans           14.5          -          -          -          -
  Interest and Fees on Loans       4.2        2.8        1.3         .3          -
</TABLE>
The  following ratios compare Bancorp's returns on average assets  and
average  equity  for the first nine months of 1996 and  for  the  year
1995.
<TABLE>
<CAPTION>
                                                  Nine Months Ended      Year Ended
                                                  September 30, 1996  December 31, 1995
<S>                                                      <C>                <C>
  Net Earnings to Average Assets(1)                       1.21%              1.29%
  Net Earnings to Average Shareholders' Equity(1)        16.94%             18.37%
<FN>
  (1)Net earnings for the nine months ended September 30, 1996 have been annualized.
</TABLE>
The   ratio   of   noninterest  expense  to  tax  equivalent   revenue
("efficiency  ratio")  was 46.6% for the first  nine  months  of  1996
compared  to 56.8% for the first nine months of 1995. For purposes  of
calculating  the efficiency ratio, noninterest expense  excludes  non-
recurring  expenses of $8.0 million and $.3 million in 1996 and  1995,
respectively.  Tax  equivalent revenue  includes  tax  equivalent  net
interest  income  and  noninterest income but  excludes  non-recurring
income  of  $-  and  $9.8 million in 1996 and 1995, respectively,  and
security gains or losses. The improvement in the efficiency ratio  was
due  primarily  to  increased  noninterest  income  which  grew  at  a
proportionately greater rate than noninterest expense.

Nonperforming assets as of September 30, 1996 decreased $16.7  million
compared to December 31, 1995, but increased $9.3 million compared  to
September  30, 1995. The ratio of nonperforming loans to  total  loans
and  leases  was  .47%  at September 30, 1996,  compared  to  .86%  at
December  31,  1995  and  .43% at September 30,  1995.  The  ratio  of
nonperforming  assets  to total loans, leases and  other  real  estate
owned was .62% at September 30, 1996, compared to .98% at December 31,
1995 and .47% at September 30, 1995.
<PAGE>
Net Interest Income

See  Table  1  for net interest income on a tax equivalent  basis  and
Table  2  for  consolidated average balances, average  rates  and  net
interest margin.

Net  interest income on a tax equivalent basis increased approximately
$29.7  million  for the first nine months of 1996 over the  comparable
period  in 1995. This increase resulted from a $16.5 million  increase
due to changes in volume and a $13.2 million increase which was caused
by  changes  in  rates. Volume changes are caused by  changes  in  the
average  balances  of  interest earning assets  and  interest  bearing
liabilities.  The  net interest margin was 3.96% for  the  first  nine
months of 1996 as compared to 3.82% for the comparable period in 1995.
The improvement in the net interest margin during this period reflects
the  decrease in the average rate paid on interest bearing liabilities
of  32  basis points, more than offsetting the decrease in the average
rate  received  on  interest earning assets of 15  basis  points.  The
decrease in Bancorp's overall rate on interest bearing liabilities was
due  to  the decline in the rate paid on deposits and long-term  debt,
which  more  than  offset an increase in higher cost liabilities.  The
decrease in the average rate earned on interest earning assets was due
to a lower average rate earned on commercial and financial loans which
was  partially  offset by an increase in the average  rate  earned  on
investment  securities.  Bancorp's interest bearing  liabilities  have
reacted  more  quickly to changing interest rates in  the  environment
than  its interest earning assets, causing the net interest margin  to
increase. Interest rate swaps increased the net interest margin by  26
basis  points during the first nine months of 1996. During  the  first
nine  months  of 1995, interest rate swaps decreased the net  interest
margin by 15 basis points.

In  preparing the net interest margin tables, nonaccrual loan balances
are  included  in  the  average balances for loans  and  leases.  Fees
included  in  interest and fees on loans and leases  are  as  follows:
third  quarter 1996 - $4.0 million, third quarter 1995 - $4.3 million,
year-to-date  1996  -  $12.8 million, and year-to-date  1995  -  $13.0
million.

Provision for Loan and Lease Losses

For the first nine months of 1996 and 1995, the provision for loan and
lease  losses  was  $37.8 million and $9.0 million, respectively.  The
increase  in the provision was the result of two factors. Total  loans
and  leases  have increased by $401.1 million, or 9%,  over  the  last
twelve  months. Additionally, a higher level of charge-offs and  lower
level of recoveries are expected during 1996 compared to 1995.

Noninterest Income

Third Quarter 1996 Compared to Third Quarter 1995

Noninterest income increased $12.8 million during the third quarter of
1996  compared to the same quarter in 1995. Service charges on deposit
<PAGE>
accounts  increased primarily as a result of increased  fee  rates  on
demand  deposit  accounts,  nonsufficient funds  and  ATM  usage.  The
increase in service charges and fees was primarily due to $2.1 million
of  gains  and  fees  related to commercial lending  being  recognized
during  the  third quarter of 1996. Gain on sales of loans and  leases
increased primarily as a result of $14.5 million in gains on the  sale
of  residential closed end non-conforming home equity loans  discussed
earlier. Other income decreased primarily due to the recording of $7.1
million  in  gross  gain  from  the sale of  Heritage  Savings  Bank's
("Heritage") deposits and branches in August 1995.

Nine  Months  Ended September 30, 1996 Compared to Nine  Months  Ended
September 30, 1995

Noninterest  income  increased $30.5 million  during  the  first  nine
months of 1996 compared to the same period in 1995. Service charges on
deposit  accounts  and  gain on sales of loans  and  leases  increased
primarily  for  the  same reasons given in the  quarterly  comparison.
Other service charges and fees increased primarily due to $8.8 million
of gains and fees related to commercial lending realized in 1996 which
exceeded  the  $2.7 million gross gain recognized  from  the  sale  of
mortgage  loan servicing rights in 1995. The increase in other  income
was primarily the result of the receipt of $10.0 million of additional
consideration  related to a restructured loan which more  than  offset
the  gain on the sale of Heritage's deposits and branches recorded  in
1995.

Noninterest Expense

Third Quarter 1996 Compared to Third Quarter 1995

Noninterest  expense increased $15.2 million during the third  quarter
of  1996  when compared to 1995. Equipment expense increased primarily
due   to   the  depreciation  of  expanded  telebanking  and  computer
equipment. The increase in deposit insurance expense was due to a  one
time  charge  for the capitalization of the SAIF. As a result  of  the
SAIF  capitalization  charge,  future  deposit  insurance  expense  is
expected  to  decline by approximately $2 million  annually  based  on
current  deposit  levels and announced assessment rates.  Professional
fees  increased  primarily due to a litigation  settlement.  Marketing
expense  increased  due  to the promotion of  the  MeritValu  Frequent
Shopper  Program.  Increases in franchise taxes and  loan  origination
expense were the primary reasons for the increase in other expense.

Nine  Months  Ended September 30, 1995 Compared to Nine  Months  Ended
September 30, 1995

Noninterest  expense  increased $21.8 million during  the  first  nine
months  of 1996 when compared to 1995. Compensation expense, primarily
in the area of consumer banking and commercial lending increased as  a
result  of merit and promotion increases, increases in incentives  and
increased personnel. The explanations of other significant changes  in
noninterest  expense   are the same as those given  in  the  quarterly
comparison.
<PAGE>
Financial Condition

Loans and Leases

Total  loans  and  leases increased $151.4 million  during  1996.  The
increase  was primarily due to growth in consumer lease financing  and
commercial and financial loans.

The  following  table  shows the composition  of  the  commercial  and
financial  loan  category  by  industry type  at  September  30,  1996
(dollars in millions):
<TABLE>
<CAPTION>
                                                                         Amount on
                    Type                         Amount         %       Nonaccrual
<S>                                             <C>            <C>           <C>
  Construction                                     $86.8         4            $1.5
  Manufacturing                                    498.0        21             3.9
  Transportation/Utilities                         145.8         6             3.6
  Wholesale Trade                                  229.0        10             1.1
  Retail Trade                                     262.4        11             3.7
  Finance & Insurance                               84.9         4              .5
  Real Estate Operators/Investment                 284.0        12              .6
  Service Industries                               414.8        17             1.2
  Automobile Dealers                                89.1         4               -
  Other(1)                                         269.7        11             1.9
     Total                                      $2,364.5       100           $18.0
<FN>
  (1) Includes various kinds of loans, such as small business loans and loans with
     balances under $100,000.
</TABLE>
The  composition  of  the commercial mortgage  and  construction  loan
categories  by  property type at September 30, 1996 is  shown  in  the
following table (dollars in millions):
<TABLE>
<CAPTION>
                                                                         Amount on
                    Type                         Amount         %       Nonaccrual
<S>                                               <C>          <C>             <C>
  Apartments                                       $96.4        14              $-
  Office/Warehouse                                 145.8        21               -
  Residential Development                           95.1        14              .1
  Shopping/Retail                                  143.0        21               -
  Land                                              40.7         6               -
  Industrial Plants                                 15.4         2               -
  Hotels/Motels                                     33.4         5               -
  Health Facilities                                  4.5         1               -
  Auto Sales and Service                            23.7         3               -
  Churches                                          12.0         2               -
  Mobile Home Parks                                 10.6         1               -
  Other Commercial Properties                       68.8        10               -
     Total                                        $689.4       100             $.1
</TABLE>
Bancorp maintains a reserve to absorb potential losses in its loan and
lease  portfolio. Management's determination of the  adequacy  of  the
reserve is based on reviews of specific loans and leases, credit  loss
experience,  general economic conditions and other pertinent  factors.
Loans  and  leases deemed uncollectible are charged off  and  deducted
from the reserve and recoveries on loans and leases previously charged
off are added to the reserve. Management considers the present reserve
<PAGE>
to  be appropriate and adequate to cover potential losses inherent  in
the   loan   and  lease  portfolio  based  on  the  current   economic
environment.  However, future economic changes  cannot  be  predicted.
Deterioration  in  general  economic conditions  could  result  in  an
increase  in the risk characteristics of the loan and lease  portfolio
and an increase in the provision for loan and lease losses.

The  following table shows the progression of the reserve for loan and
lease losses (dollars in thousands):
<TABLE>
<CAPTION>
                                                     1996              1995
<S>                                                 <C>               <C>
  Balance at January 1                              $60,235           $51,979
  Provision for Loan and Lease Losses                37,750             9,000
  Loans and Leases Charged Off                      (37,587)          (11,054)
  Recoveries                                          3,267             5,905
  Balance at September 30                           $63,665           $55,830
</TABLE>
Net charge-offs totaled $34.3 million during the first nine months  of
1996  compared to $5.1 million for the same time period in  1995.  Net
charge-offs  for  commercial  lending were  $18.5  million  which  was
comprised  principally of commercial and financial loans. Net  charge-
offs for consumer lending were $15.8 million which consisted primarily
of  instalment  loans.  As  a percentage of  total  loans  and  leases
outstanding, the reserve was 1.26% at September 30, 1996  compared  to
1.23% at December 31, 1995 and 1.20% at September 30, 1995.

Table  3  shows  a comparison of the major components of nonperforming
assets  over  the past five quarters along with various asset  quality
ratios.  Nonperforming assets have decreased $16.7 million during  the
first  nine  months of 1996. Nonaccrual loans decreased $14.7  million
during  the  first  nine months of 1996. Significant  activity  within
nonaccrual  loans  includes the addition of two  loans  totaling  $8.2
million,  the  charge-off of five loans totaling  $11.1  million,  the
transfer  of two loans to other real estate totaling $6.6 million  and
the  repayment  of  one  loan  for $5.2  million.  Renegotiated  loans
decreased  $4.0 million primarily due to the sale of one  loan.  Other
real  estate increased $2.0 million. Significant activity within other
real  estate includes the transfer in of two nonaccrual loans totaling
$6.6  million, as noted above, and the sale of two properties for $4.8
million.  At September 30, 1996, nonperforming assets as a  percentage
of  total  loans, leases and other real estate was .62% which compares
favorably to Bancorp's most recent five-year average of .94%.

Deposits

Interest  bearing  deposits  increased $269.9  million,  or  7%,  from
December 31, 1995 to September 30, 1996. The increase was a result  of
the  growth in certificates of deposit which has risen $330.6  million
during this time period.
<PAGE>
Short-Term Debt

Short-term  debt increased $133.5 million, or 21%, to  $770.8  million
during  the  first three quarters of 1996. The increase was  primarily
due to the purchase of term federal funds.

Long-Term Debt

During  the first nine months of 1996, long-term debt decreased $154.5
million,  or 19%, reflecting the repayment of debt, primarily  to  the
Federal Home Loan Bank.

During  the  third quarter of 1996, Provident amended its  medium-term
bank  notes program to extend its borrowing capacity from $500 million
to  $1  billion.  Under  the revised program,  both  subordinated  and
unsubordinated  debt  may  be issued at fixed  and  floating  interest
rates.  The  notes  under the program are not  secured  nor  are  they
insured by the FDIC. No additional borrowings have been made under the
amended bank notes program as of September 30, 1996.

Capital Resources and Adequacy

During  the first nine months of 1996, shareholders' equity  increased
$38.6 million, or 9%, to $471.2 million. Dividends of $15.9 million on
common  stock and $397,000 on preferred stock were paid in  the  first
nine months of 1996. Unrealized gains on marketable securities, net of
deferred  income taxes, decreased $3.7 million during the  first  nine
months of 1996.

The  following  table of ratios is important to the  analysis  of  the
adequacy of capital resources.
<TABLE>
<CAPTION>
                                                  Nine Months Ended       Year Ended
                                                  September 30, 1996   December 31, 1995
<S>                                                         <C>                <C>
  Average Shareholders' Equity to Average Assets             7.15%              7.02%
  Preferred Dividend Payout to Net Earnings                  0.69               3.39
  Common Dividend Payout to Net Earnings                    27.78              22.78
  Tier 1 Leverage Ratio                                      7.18               7.13
  Tier 1 Capital to Risk-Weighted Assets                     7.71               7.52
  Total Risk-Based Capital To Risk-Weighted Assets          11.70              11.77
</TABLE>
Bancorp's  quarterly dividend on its common stock increased from  $.18
per  share to $.21 per share effective with the dividend paid  in  the
second  quarter  of 1996. This higher dividend rate should  cause  the
common and preferred dividend payout ratios to increase in the future.

Capital expenditures planned by Bancorp for building improvements  and
furniture  and  equipment  in  1996  are  currently  estimated  to  be
approximately  $16  million. Included in  this  amount  are  projected
capital  expenditures for improvements of data processing capabilities
and  improvement  of the branch banking network, with  emphasis  being
placed  on  enhancing the branches located in local  supermarkets  and
placement  of  additional ATMs. Bancorp also  intends  to  expand  and
improve its telephone banking operations. Through September 30,  1996,
approximately $10.3 million of these expenditures have been made.
<PAGE>
Liquidity

Adequate  liquidity  is  necessary to meet  the  borrowing  needs  and
deposit  withdrawal requirements of customers as well  as  to  satisfy
liabilities, fund operations and support asset growth. Bancorp  has  a
number  of  sources to provide for liquidity needs.  First,  liquidity
needs  can  be met by the liquid assets on its balance sheet  such  as
cash  and  deposits with other banks. Another source is the generation
of  new  deposits.  Bancorp may borrow both short-term  and  long-term
funds.  Bancorp  has  an  additional  $687.5  million  available   for
borrowing under a $1 billion bank notes program. Additional sources of
liquidity  include the sale of investment securities and the  sale  of
commercial and consumer loans and leases.

The major source of liquidity for Bancorp on a parent-only basis ("the
Parent")  is  dividends  paid to it by its subsidiaries.  Pursuant  to
Federal  Reserve  and state banking regulations,  the  maximum  amount
available  for  dividend distribution to the Parent at  September  30,
1996 by its banking subsidiaries was approximately $131.9 million. The
Parent  has  not received dividends from its subsidiaries  during  the
first nine months of 1996.

At  September  30, 1996, the Parent had $128.0 million  of  short-term
commercial  paper outstanding. A portion of commercial paper  proceeds
was  used  to  fund  short-term  loans. Contractual  lines  of  credit
totaling $175 million have been obtained by the Parent to support  its
commercial  paper  borrowings. Also, the Parent  has  $30  million  in
general  purpose  lines of credit. These lines had not  been  used  at
September  30,  1996. The Parent had approximately $107.7  million  in
cash and interest earning deposits at September 30, 1996.
<PAGE>
<TABLE>
Provident Bancorp, Inc. and Subsidiaries
Condensed Consolidated Statements Of Earnings
(unaudited)
(In Thousands)
Table 1.
<CAPTION>
                                                             Quarter Ended           Nine Months Ended
                                                           Sept.       Sept.         Sept.       Sept.
                                                           1996        1995          1996        1995
<S>                                                      <C>         <C>           <C>         <C>
Total Interest Income                                    $131,267    $118,058      $384,677    $338,166
Taxable Equivalent Adjustment                                 141         118           398         367

Taxable Equivalent Interest Income                        131,408     118,176       385,075     338,533
Total Interest Expense                                     70,892      66,432       208,189     191,360

Net Interest Income                                        60,516      51,744       176,886     147,173
Provision for Loan and Lease Losses                        14,000       4,000        37,750       9,000

Taxable Equivalent Net Interest Income After
    Provision for Loan and Lease Losses                    46,516      47,744       139,136     138,173

Noninterest Income                                         31,524      18,725        72,907      42,366
Noninterest Expense                                        51,524      36,351       124,402     102,556


Taxable Equivalent Earnings Before Income Taxes            26,516      30,118        87,641      77,983

Applicable Income Taxes                                     9,100       8,990        30,043      25,131

Taxable Equivalent Adjustment                                 141         118           398         367

Net Earnings                                              $17,275     $21,010       $57,200     $52,485
Net Earnings Applicable to Common Stock                   $17,137     $20,372       $56,803     $50,686
</TABLE>
<PAGE>
<TABLE>
Provident Bancorp, Inc. and Subsidiaries
Consolidated Average Balances, Rates and Yields
On a Fully Taxable Equivalent Basis
(unaudited)
(Dollars In Millions)
Table 2.
<CAPTION>
                                                                  Quarter Ended                      Nine Months Ended
                                                      Sept. 30, 1996     Sept. 30, 1995    Sept. 30, 1996     Sept. 30, 1995
                                                      Average    Avg     Average    Avg    Average    Avg     Average    Avg
                                                      Balance    Rate    Balance    Rate   Balance    Rate    Balance    Rate
<S>                                                    <C>        <C>     <C>        <C>    <C>        <C>     <C>        <C>
Assets:
 Loans and Leases (Net of Unearned Income):
  Commercial Lending:
   Commercial and Financial                            $2,281     9.12%   $2,048     9.76%  $2,252     9.27%   $1,984     9.97%
   Mortgage                                               465     8.93       429     9.34      453     9.08       425     9.23
   Construction                                           222     8.82       209     9.27      238     8.95       197     9.46
   Lease Financing                                        143     7.59       103     7.47      132     7.63       100     7.61
  Consumer Lending:
   Instalment                                             960     9.60       947     9.32      985     9.40       933     8.97
   Residential                                            490     8.82       492     7.95      477     8.50       497     7.98
   Lease Financing                                        485     7.46       262     7.29      422     7.48       229     7.13
    Total Loans and Leases                              5,046     8.95     4,490     9.21    4,959     8.99     4,365     9.23
   Reserve for Loan and Lease Losses                      (65)               (56)              (65)               (55)
    Net Loans and Leases                                4,981     9.07     4,434     9.32    4,894     9.11     4,310     9.35
 Investment Securities:
  Taxable                                               1,097     6.35       898     6.06    1,031     6.44       813     5.87
  Tax-Exempt                                               15     6.40        10     5.76       14     6.20        10     5.87
    Total Investment Securities                         1,112     6.35       908     6.05    1,045     6.44       823     5.87
 Federal Funds Sold and Reverse
   Repurchase Agreements                                    7     5.49        10     5.77       21     5.21        21     5.73
    Total Earning Assets                                6,100     8.57     5,352     8.76    5,960     8.63     5,154     8.78
 Cash and Noninterest Bearing Deposits                    134                151               143                147
 Other Assets                                             205                181               196                161
    Total Assets                                       $6,439             $5,684            $6,299             $5,462
Liabilities and Shareholders' Equity:
 Deposits:
  Demand Deposits                                        $252     1.93      $251     1.96     $253     1.94      $257     2.14
  Savings Deposits                                        573     2.72       640     2.94      587     2.70       656     3.25
  Time Deposits                                         2,991     5.68     2,666     6.22    2,912     5.80     2,682     6.18
   Total Deposits                                       3,816     4.99     3,557     5.33    3,752     5.05     3,595     5.36
 Short-Term Debt:
  Federal Funds Purchased and
   Repurchase Agreements                                  740     5.30       577     5.88      619     5.29       454     5.92
  Commercial Paper                                        140     5.53       149     5.88      146     5.49       137     5.97
  Short-Term Notes Payable                                  1     5.33         1     5.90        1     6.22         1     5.61
   Total Short-Term Debt                                  881     5.34       727     5.88      766     5.33       592     5.93
 Long-Term Debt                                           742     6.02       489     6.37      791     6.03       418     6.72
   Total Interest Bearing Liabilities                   5,439     5.19     4,773     5.52    5,309     5.24     4,605     5.55
 Noninterest Bearing Deposits                             389                410               399                387
 Other Liabilities                                        146                102               141                 89
 Shareholders' Equity                                     465                399               450                381
   Total Liabilities and Shareholders' Equity          $6,439             $5,684            $6,299             $5,462

Net Interest Spread                                               3.38%              3.24%             3.39%              3.23%

Net Interest Margin                                               3.95%              3.84%             3.96%              3.82%
</TABLE>
<PAGE>
<TABLE>
Provident Bancorp, Inc. and Subsidiaries
Consolidated Quarterly Nonperforming Assets
(unaudited)
(Dollars In Thousands)
Table 3.
<CAPTION>
                                                                             Quarter Ended
                                                       Sept.        June         Mar.         Dec.         Sept.
                                                       1996         1996         1996         1995         1995
<S>                                                  <C>          <C>          <C>          <C>          <C>
Nonaccrual Loans: (1)
 Commercial Lending:
   Commercial and Financial                            $18,024      $14,283      $26,749      $26,190      $12,231
   Mortgage                                                 48          300        1,162        6,716        1,521
   Construction                                             71           71           78           78           78
   Lease Financing                                       2,653        2,720        2,664        2,605            -
 Consumer Lending:
   Instalment                                                -            -            -          230           30
   Residential                                           2,008        1,489        1,296        1,678        1,367
   Lease Financing                                           -            -            -            -            -
     Total Nonaccrual Loans                             22,804       18,863       31,949       37,497       15,227

Renegotiated Loans (2)                                     787          551          558        4,753        4,886
   Total Nonperforming Loans                            23,591       19,414       32,507       42,250       20,113

Other Real Estate and Equipment Owned:
   Commercial                                            6,477        7,341        7,460        3,714            -
   Closed bank branches                                      -            -            -          189          189
   Residential                                             480          897          989          468          292
   Multifamily                                               -            -          588          594          601
   Land                                                    660          661          663          663          734
     Total                                               7,617        8,899        9,700        5,628        1,816

     Total Nonperforming Assets                        $31,208      $28,313      $42,207      $47,878      $21,929

Loans 90 Days Past Due Still Accruing                  $19,989      $25,426      $31,178      $26,578       $6,309

Total Loans and Leases                               5,047,441    4,996,007    4,890,021    4,896,076    4,646,366

Reserve for Loan and Lease Losses                       63,665       61,169       60,966       60,235       55,830

Total Assets                                         6,483,920    6,428,464    6,243,786    6,205,351    5,955,257

Reserve for Loan and Lease Losses as a Percent of:
  Nonperforming Loans                                   269.87%      315.08%      187.55%      142.57%      277.58%
  Nonperforming Assets                                  204.00%      216.05%      144.45%      125.81%      254.59%
  Total Loans and Leases                                  1.26%        1.22%        1.25%        1.23%        1.20%

Nonperforming Loans as a % of Total
  Loans and Leases                                         .47%         .39%         .66%         .86%         .43%


Nonperforming Assets as a Percent of:
  Total Loans, Leases  and Other Real Estate               .62%         .57%         .86%         .98%         .47%
  Total Assets                                             .48%         .44%         .68%         .77%         .37%
<FN>
(1) Bancorp generally stops accruing interest on loans and leases when the payment of principal and/or
    interest is past due 90 days or more.
(2) Loans renegotiated to provide a reduction or deferral of interest or principal because of a
    deterioration in the financial position of the borrower.
</TABLE>
<PAGE>
                     PART II  -  OTHER INFORMATION

Item 6. Exhibits and Reports on Form 8-K

(a)  Exhibit filed:

       Exhibit 27 - Financial Data Schedule

(b)  Reports on Form 8-K
<TABLE>
<CAPTION>
          Date of Report                    Item 5.  Other Events
<S>                         <C>
       September 19, 1996   Sold $153.7 million of closed-end home equity loans
                              to Lehman ABS Corporation for securitization.
                            Provident's goal is to originate $800 million of home
                              equity loans during the next twelve months and sell
                              approximately $100 million of these originations
                              per calendar quarter, market conditions permitting.

       September 26, 1996   Sold $200 million of closed end non-conforming home
                              equity loans resulting in $13 - $15 million of
                              pre-tax income.
                            Net income for the third quarter of 1996 was projected
                              to be approximately $22 million due to this
                              transaction, along with additions to its loan loss
                              reserve and other expenses incurred during the
                              quarter.

       October 4, 1996      Revised its estimate of net income for the third
                              quarter of 1996 to $17 million as a result of a
                              one-time special assessment on Savings Association
                              Insurance Fund deposits.
</TABLE>
All  other  items required in Part II of this form have  been  omitted
since they are not applicable or not required.
<PAGE>
                              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.





                                            Provident Bancorp, Inc.
                                                  Registrant





Date:  November 4, 1996                     \s\ John R. Farrenkopf
                                              John R. Farrenkopf
                                              Vice President and
                                           Chief Financial Officer