<PAGE>
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    Form 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934


                Date of Report (Date of earliest event reported)
                                  June 14, 1996



                    First Alliance Mortgage Loan Trust 1996-2
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)
                                                           
                                   
                                    33-99604
                       
                                (Commission File
                                ----------------
                                     Number)
                       
                                                     APPLICATION
           California                                  PENDING
 (State or Other Jurisdiction of             ----------------------------
 -------------------------------                   (I.R.S. Employer    
         Incorporation)                           Identification No.)   
                      
   
        c/o Bankers Trust Company                   92714
           of California, N.A.           ------------------------------
        3 Park Plaza, 16th Floor                  (Zip Code)
           Irvine, California                     
- ----------------------------------------
(Address of Principal Executive Offices)

        Registrant's telephone number, including area code (714) 550-6800
                                                           --------------

                                    No Change
          -------------------------------------------------------------
          (Former name or former address, if changed since last report)
<PAGE>
Item 2.  Acquisition or Disposition of Assets
         ------------------------------------

Description of the Certificates and the Mortgage Loans

                  First Alliance Mortgage Company registered  issuances of up to
$580,000,000  principal  amount of Mortgage Loan Asset Backed  Certificates on a
delayed or continuous  basis  pursuant to Rule 415 under the  Securities  Act of
1933,  as  amended  (the  "Act"),  by  a  Registration  Statement  on  Form  S-3
(Registration  File No. 33-99640) (as amended,  the  "Registration  Statement").
Pursuant to the  Registration  Statement,  First  Alliance  Mortgage  Loan Trust
1996-2  (the  "Registrant"  or the  "Trust")  issued  $75,000,000  in  aggregate
principal amount of its Mortgaged Loan Asset Backed Certificates,  Series 1996-2
(the "Certificates"), on June 14, 1996. This Current Report on Form 8-K is being
filed to satisfy an undertaking to file copies of certain agreements executed in
connection with the issuance of the Certificates,  the forms of which were filed
as Exhibits to the Registration Statement.

                  The  Certificates  were  issued  pursuant  to  a  Pooling  and
Servicing Agreement (the "Pooling and Servicing  Agreement")  attached hereto as
Exhibit 4.1, dated as of June 1, 1996,  between First Alliance  Mortgage Company
(the  "Company"),  and in its capacity as servicer (the  "Servicer") and Bankers
Trust Company of California,  N.A., in its capacity as trustee (the  "Trustee").
The Certificates  consist of five classes,  the Class A-1, Class A-2, Class A-3,
and  Class  A-4  Certificates  (the  "Class  A  Certificates")  and the  Class R
Certificates  (the  "Class  R  Certificates"  and,  together  with  the  Class A
Certificates,  the  "Certificates").  Only the Class A Certificates  were issued
pursuant to the Registration Statement.  The Certificates initially evidence, in
the  aggregate,  100% of the  undivided  beneficial  ownership  interests in the
Trust.

                  The  assets  of the Trust  initially  will  include  two pools
(each,  a "Mortgage  Loan Group") of closed-end  mortgage  loans (the  "Mortgage
Loans") secured by mortgages or deeds of trust on one-to-four family residential
properties.   The  Class  A-1,  Class  A-2,  and  Class  A-3  Fixed  Rate  Group
Certificates  represent  undivided  ownership  interests in a pool of fixed rate
Mortgage Loans secured by mortgages that may be either in a first or in a junior
lien  position.  The  Class  A-4  Variable  Rate  Group  Certificates  represent
undivided  ownership interests in a pool of variable rate Mortgage Loans secured
by mortgages in a first lien position.

                  Interest  distributions  on the Class A Certificates are based
on  the   Certificate   Principal   Balance  thereof  and  the  then  applicable
Pass-Through Rate thereof.  The Pass-Through Rate for the Class A-1 Certificates
will be 7.225% per annum; the  Pass-Through  Rate for the Class A-2 Certificates
will be  7.725%  per  annum;  and  the  Pass-Through  Rate  for  the  Class  A-3
Certificates  will be 8.225% per annum. The Pass-Through  Rate for the Class A-4
Certificates  adjusts monthly and with respect to the first Payment Date will be
5.835% per annum.

                  The Class A-1 Certificates have an aggregate  principal amount
of $29,614,000. The Class A-2 Certificates have an aggregate principal amount of
$10,000,000.  The Class A-3 Certificates  have an aggregate  principal amount of
$10,386,000.  The Class A-4 Certificates  have an aggregate  principal amount of
$25,000,000.

                  As of the Closing  Date,  the  Mortgage  Loans  possessed  the
characteristics  described  in the  Prospectus  dated  June  10,  1996  and  the
Prospectus  Supplement  dated June 10, 1996, filed pursuant to Rule 424(b)(5) of
the Act on June 18, 1996.
<PAGE>
Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.
         -------------------------------------------------------------------

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits:

                 1.1 Underwriting Agreement,  dated June 10, 1996, between First
Alliance Mortgage Company and Prudential Securities Incorporated.

                 1.2  Conveyance  Agreement,  dated as of June 1, 1996,  between
Nationscapital Mortgage Corporation,  as Originator, and First Alliance Mortgage
Company, as the Company.

                 1.3  Conveyance  Agreement,  dated as of June 1, 1996,  between
Coast  Security  Mortgage  Inc.,  as  Originator,  and First  Alliance  Mortgage
Company, as the Company.

                 4.1 Pooling and Servicing Agreement,  dated as of June 1, 1996,
among First  Alliance  Mortgage  Company,  as Company and Servicer,  and Bankers
Trust Company of California, N.A., as Trustee.

                 8.1 Opinion of Arter & Hadden with respect to tax matters.
<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 hereunto duly authorized.


                                    By:   FIRST ALLIANCE MORTGAGE COMPANY, as
                                             Company


                                             By:  /s/Brian Chisick
                                                -------------------------
                                                Name: Brian Chisick
                                                Title: President


Dated:  June 28, 1996
<PAGE>
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{"company-data": {"conformed-name": "FIRST ALLIANCE MORTGAGE LOAN TRUST 1996-2", "cik": "0001017018", "assigned-sic": "[]", "irs-number": "952944875", "state-of-incorporation": "CA", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "033-99604-01", "film-number": "96589621"}, "business-address": {"street1": "17305 VON KARMAN AVE", "city": "IRVINE", "state": "CA", "zip": "92714", "phone": "7142248500"}, "mail-address": {"street1": "17305 VON KARMAN AVENUE", "city": "IRVINE", "state": "CA", "zip": "92714"}}
SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    Form 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934

                Date of Report (Date of earliest event reported)
                                  June 14, 1996

                    First Alliance Mortgage Loan Trust 1996-2
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)
                                                           
                                   
                                    33-99604
                       
                                (Commission File
                                ----------------
                                     Number)
                       
                                                     APPLICATION
           California                                  PENDING
 (State or Other Jurisdiction of             ----------------------------
 -------------------------------                   (I.R.S. Employer    
         Incorporation)                           Identification No.)   
                      
   
        c/o Bankers Trust Company                   92714
           of California, N.A.           ------------------------------
        3 Park Plaza, 16th Floor                  (Zip Code)
           Irvine, California                     
- ----------------------------------------
(Address of Principal Executive Offices)

        Registrant's telephone number, including area code (714) 550-6800
                                                           --------------

                                    No Change
          -------------------------------------------------------------
          (Former name or former address, if changed since last report)
Item 2.  Acquisition or Disposition of Assets
         ------------------------------------

Description of the Certificates and the Mortgage Loans

                  First Alliance Mortgage Company registered  issuances of up to
$580,000,000  principal  amount of Mortgage Loan Asset Backed  Certificates on a
delayed or continuous  basis  pursuant to Rule 415 under the  Securities  Act of
1933,  as  amended  (the  "Act"),  by  a  Registration  Statement  on  Form  S-3
(Registration  File No. 33-99640) (as amended,  the  "Registration  Statement").
Pursuant to the  Registration  Statement,  First  Alliance  Mortgage  Loan Trust
1996-2  (the  "Registrant"  or the  "Trust")  issued  $75,000,000  in  aggregate
principal amount of its Mortgaged Loan Asset Backed Certificates,  Series 1996-2
(the "Certificates"), on June 14, 1996. This Current Report on Form 8-K is being
filed to satisfy an undertaking to file copies of certain agreements executed in
connection with the issuance of the Certificates,  the forms of which were filed
as Exhibits to the Registration Statement.

                  The  Certificates  were  issued  pursuant  to  a  Pooling  and
Servicing Agreement (the "Pooling and Servicing  Agreement")  attached hereto as
Exhibit 4.1, dated as of June 1, 1996,  between First Alliance  Mortgage Company
(the  "Company"),  and in its capacity as servicer (the  "Servicer") and Bankers
Trust Company of California,  N.A., in its capacity as trustee (the  "Trustee").
The Certificates  consist of five classes,  the Class A-1, Class A-2, Class A-3,
and  Class  A-4  Certificates  (the  "Class  A  Certificates")  and the  Class R
Certificates  (the  "Class  R  Certificates"  and,  together  with  the  Class A
Certificates,  the  "Certificates").  Only the Class A Certificates  were issued
pursuant to the Registration Statement.  The Certificates initially evidence, in
the  aggregate,  100% of the  undivided  beneficial  ownership  interests in the
Trust.

                  The  assets  of the Trust  initially  will  include  two pools
(each,  a "Mortgage  Loan Group") of closed-end  mortgage  loans (the  "Mortgage
Loans") secured by mortgages or deeds of trust on one-to-four family residential
properties.   The  Class  A-1,  Class  A-2,  and  Class  A-3  Fixed  Rate  Group
Certificates  represent  undivided  ownership  interests in a pool of fixed rate
Mortgage Loans secured by mortgages that may be either in a first or in a junior
lien  position.  The  Class  A-4  Variable  Rate  Group  Certificates  represent
undivided  ownership interests in a pool of variable rate Mortgage Loans secured
by mortgages in a first lien position.

                  Interest  distributions  on the Class A Certificates are based
on  the   Certificate   Principal   Balance  thereof  and  the  then  applicable
Pass-Through Rate thereof.  The Pass-Through Rate for the Class A-1 Certificates
will be 7.225% per annum; the  Pass-Through  Rate for the Class A-2 Certificates
will be  7.725%  per  annum;  and  the  Pass-Through  Rate  for  the  Class  A-3
Certificates  will be 8.225% per annum. The Pass-Through  Rate for the Class A-4
Certificates  adjusts monthly and with respect to the first Payment Date will be
5.835% per annum.

                  The Class A-1 Certificates have an aggregate  principal amount
of $29,614,000. The Class A-2 Certificates have an aggregate principal amount of
$10,000,000.  The Class A-3 Certificates  have an aggregate  principal amount of
$10,386,000.  The Class A-4 Certificates  have an aggregate  principal amount of
$25,000,000.

                  As of the Closing  Date,  the  Mortgage  Loans  possessed  the
characteristics  described  in the  Prospectus  dated  June  10,  1996  and  the
Prospectus  Supplement  dated June 10, 1996, filed pursuant to Rule 424(b)(5) of
the Act on June 18, 1996.
Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.
         -------------------------------------------------------------------

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits:

                 1.1 Underwriting Agreement,  dated June 10, 1996, between First
Alliance Mortgage Company and Prudential Securities Incorporated.

                 1.2  Conveyance  Agreement,  dated as of June 1, 1996,  between
Nationscapital Mortgage Corporation,  as Originator, and First Alliance Mortgage
Company, as the Company.

                 1.3  Conveyance  Agreement,  dated as of June 1, 1996,  between
Coast  Security  Mortgage  Inc.,  as  Originator,  and First  Alliance  Mortgage
Company, as the Company.

                 4.1 Pooling and Servicing Agreement,  dated as of June 1, 1996,
among First  Alliance  Mortgage  Company,  as Company and Servicer,  and Bankers
Trust Company of California, N.A., as Trustee.

                 8.1 Opinion of Arter & Hadden with respect to tax matters.
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 hereunto duly authorized.

                                    By:   FIRST ALLIANCE MORTGAGE COMPANY, as
                                             Company

                                             By:  /s/Brian Chisick
                                                -------------------------
                                                Name: Brian Chisick
                                                Title: President

Dated:  June 28, 1996