RULE 424(b)(2)
                                             REGISTRATION NO. 33-56207


PRICING SUPPLEMENT NO. 40         TO PROSPECTUS DATED NOVEMBER 3, 1994
                                   (As supplemented November 17, 1994)


                        IBM CREDIT CORPORATION

                          MEDIUM-TERM NOTES

                          (Fixed Rate Note)

          (Due from 9 months to 30 years from date of issue)

Designation:  Fixed Rate                    Original Issue Date:
  Medium-Term Notes Due                       August 14, 1995
  August 14, 2000

Principal Amount:  $20,000,000              Maturity Date:
                                              August 14, 2000

Issue Price (as a percentage of             Regular Record Dates:
  Principal Amount):  100%                    Fifteenth calendar day (whether
                                              or not a Business Day) prior to
                                              the corresponding Interest
                                              Payment Date

Interest Rate:  6.75%

Commission or Discount (as a                Interest Payment Dates:  The
  percentage of Principal                     14th of each month, commencing
  Amount):  0.0%                              September 14, 1995 and ending
                                              on the Maturity Date

Redemption Provisions:                      Denominations:  $5,000 and
  The Notes are redeemable at the             integral multiples of $1,000 in
  option of the Company on any                excess thereof
  Interest Payment Date, occuring
  on or after August 14, 1996

                                            CUSIP:  44922L V78

                                            Form:  [X] Book-Entry
                                                   [ ] Certificated


          This Pricing Supplement supplements and, to the extent
inconsistent therewith, amends the description of the Notes referred
to above in the accompanying Prospectus Supplement and Prospectus.



                               INTEREST

          Interest on the Notes will be calculated based on a year of
360 days consisting of 12 months of 30 days each.

          If any payment of principal or interest is due on a day that
is not a Business Day, that payment may be made on the next succeeding
Business Day. No additional interest will accrue as a result of the
delay in payment. For purposes of the offering made hereby, "Business
Day" as used herein and in the accompanying Prospectus Supplement
means each day on which commercial banks and foreign exchange markets
settle payments in The City of New York. Capitalized terms used but
not defined herein have the meanings assigned in the accompanying
Prospectus Supplement and Prospectus.

                              REDEMPTION

          The Notes are redeemable by the Company on any Interest
Payment Date occurring on or after the August 14, 1996 Interest
Payment Date, in whole or in part, on at least 30 days prior notice at
a redemption price of 100% of the principal amount thereof plus
accrued interest thereon to the date of redemption.

                         PLAN OF DISTRIBUTION

          The Notes will be sold to Smith Barney Inc. for resale to
one or more investors at a fixed public offering price. After the
initial public offering of the Notes, the public offering price and
any concession or discount may be changed.

Dated:  August 4, 1995