--------------------------------------------------------------------------------


                       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)
                               September 30, 1996



                    First Alliance Mortgage Loan Trust 1996-3
            (filed on its behalf by First Alliance Mortgage Company)
         --------------------------------------------------------------
             (Exact name of registrant as specified in its charter)



                                                           APPLICATION
           New York                 33-99604-02            PENDING
 ----------------------------   -------------------     -------------------
(State or Other Jurisdiction   (Commission File         (I.R.S. Employer
   of Incorporation)                      Number)       Identification No.)


         c/o The Bank of New York
         101 Barclay Street, 12E
           New York, New York                                      10286
       -------------------------                                 ----------
(Address of Principal Executive Offices)                         (Zip Code)


        Registrant's telephone number, including area code (212) 815-2312
                                                           --------------
                                    No Change
           -----------------------------------------------------------
          (Former name or former address, if changed since last report)
--------------------------------------------------------------------------------

<PAGE>



Item 2.  Acquisition or Disposition of Assets

Description of the Conveyance of Subsequent Mortgage Loans

         On September 30, 1996,  First Alliance  Mortgage Loan Trust 1996-3 (the
"Trust") acquired  $17,201,101.62  of Subsequent  Mortgage Loans pursuant to the
terms of the Pooling and  Servicing  Agreement  dated as of  September  1, 1996,
between First Alliance Mortgage Company, as Company and Servicer (the "Company")
and The  Bank of New  York,  in its  capacity  as  Trustee,  and the  Subsequent
Transfer  Agreement  among  the  Company  and the  Trust,  as  purchaser,  dated
September 30, 1996.  The Subsequent  Mortgage Loans possess the  characteristics
required  by  the  Prospectus  dated  September  10,  1996  and  the  Prospectus
Supplement dated September 10, 1996, filed pursuant to Rule 424(b)(5) of the Act
on September 17, 1996. The Schedule of Subsequent  Mortgage Loans is attached to
the Subsequent Transfer Agreement.





<PAGE>



Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits:

         10.1     Subsequent  Transfer  Agreement dated as of September 30, 1996
                  among First Alliance Mortgage  Company,  as the Company and as
                  Servicer and First Alliance  Mortgage Loan Trust 1996-3 as the
                  Purchaser.





<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:  October 10, 1996
[{"type": "8-K", "sequence": "1", "description": "FORM 8-K", "secsgml_size_bytes": 3974}]
{"company-data": {"conformed-name": "FIRST ALLIANCE MORTGAGE LOAN TRUST 1996-3", "cik": "0001023006", "assigned-sic": "6189", "irs-number": "952944875", "state-of-incorporation": "CA", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "033-96604-01", "film-number": "96642193"}, "business-address": {"street1": "17305 VON KARMAN AVE", "city": "IRVINE", "state": "CA", "zip": "92714", "phone": "7142248500"}, "mail-address": {"street1": "17305 VON KARMAN AVE", "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)
                               September 30, 1996

                    First Alliance Mortgage Loan Trust 1996-3
            (filed on its behalf by First Alliance Mortgage Company)
         --------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

                                                           APPLICATION
           New York                 33-99604-02            PENDING
 ----------------------------   -------------------     -------------------
(State or Other Jurisdiction   (Commission File         (I.R.S. Employer
   of Incorporation)                      Number)       Identification No.)

         c/o The Bank of New York
         101 Barclay Street, 12E
           New York, New York                                      10286
       -------------------------                                 ----------
(Address of Principal Executive Offices)                         (Zip Code)

        Registrant's telephone number, including area code (212) 815-2312
                                                           --------------
                                    No Change
           -----------------------------------------------------------
          (Former name or former address, if changed since last report)
--------------------------------------------------------------------------------
Item 2.  Acquisition or Disposition of Assets

Description of the Conveyance of Subsequent Mortgage Loans

         On September 30, 1996,  First Alliance  Mortgage Loan Trust 1996-3 (the
"Trust") acquired  $17,201,101.62  of Subsequent  Mortgage Loans pursuant to the
terms of the Pooling and  Servicing  Agreement  dated as of  September  1, 1996,
between First Alliance Mortgage Company, as Company and Servicer (the "Company")
and The  Bank of New  York,  in its  capacity  as  Trustee,  and the  Subsequent
Transfer  Agreement  among  the  Company  and the  Trust,  as  purchaser,  dated
September 30, 1996.  The Subsequent  Mortgage Loans possess the  characteristics
required  by  the  Prospectus  dated  September  10,  1996  and  the  Prospectus
Supplement dated September 10, 1996, filed pursuant to Rule 424(b)(5) of the Act
on September 17, 1996. The Schedule of Subsequent  Mortgage Loans is attached to
the Subsequent Transfer Agreement.
Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits:

         10.1     Subsequent  Transfer  Agreement dated as of September 30, 1996
                  among First Alliance Mortgage  Company,  as the Company and as
                  Servicer and First Alliance  Mortgage Loan Trust 1996-3 as the
                  Purchaser.
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:  October 10, 1996