FORM 10-Q

               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

           QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF
               THE SECURITIES EXCHANGE ACT OF 1934

For quarter ended March 31, 1996

Commission file number 0-14237

First United Corporation
(Exact name of registrant as specified in its charter)

Maryland                                       52-1380770
(State or other jurisdiction of               (I. R. S. Employer
incorporation or organization)                Identification no.)

19 South Second Street, Oakland, Maryland        21550-0009
(address of principal executive offices)         (zip code)

(301) 334-9471                  
Registrant's telephone number, including area code

Not applicable
Former name, address and former fiscal year, if changed since
last report.

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 periods that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
 X Yes     No

Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practical date.

Common stock, $.01 Par value--6,506,295 shares outstanding as of
March 31, 1996 Preferred stock, No par value--No shares
outstanding as of March 31, 1996.






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FIRST UNITED CORPORATION
Consolidated Balance Sheet

                                    Mar. 31, Dec. 31, Mar. 31,
                                      1996     1995     1995
                                   (Unaudited)  (*)  (Unaudited)
Liabiliities                       ------------------------------

    Deposits
        Non-int. bearing deposits    $ 46,830 $ 49,541 $ 44,155
        Interest bearing deposits     380,462  374,753  362,352 
                                     ---------------------------
           Total deposits             427,292  424,294  406,507
    Reserve for taxes, int., &
        Other liabilities               5,159    4,371    3,857
    Fed funds purchased & other 
        borrowed money                  1,300    3,000    4,000
    Dividends payable                     846        0      743
                                     ----------------------------
          Total  Liabitities          434,597  431,665  415,107

Shareholder's Equity
    Preferred stock -no par value
    Authorized and unissued; 2,000 Shares
    
    Capital Stock -par value $.01 per share:
    Authorized 12,000 shares; issued and 
    outstanding 6,506 shares at March 31,
    1996, 6,194 outstanding at December
    31, 1995, and 6,192 outstanding at
    March 31, 1995                         65       62       62
    
    Surplus                            27,314   23,184   23,141
    
    Retained earnings                  27,908   32,065   29,347

    Unrealized (loss)gain on
    available-for-sale securities
        net of taxes                      (38)      193    (665)
                                      ---------------------------
          Total Shareholder's Equity   55,249   55,504    51,885
                                     ---------------------------
          Total Liabilities and
          Shareholder's Equity       $489,846 $487,169  $466,992
                                     ============================


* The balance sheet at December 31, 1995 has been derived from
the audited financial statements at that date.

See Notes to unaudited consolidated financial statements.
() Indicates Deduction

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                         SIGNATURES


Pursuant to the requirement 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.


                    FIRST UNITED CORPORATION 


Date      05/14/96          /s/   WILLIAM B. GRANT
         ----------      ----------------------------------------
                         William B. Gramt, Executive Vice         
                         President and Secretary



Date      05/14/96          /s/    ROBERT W. KURTZ 
         ----------      ----------------------------------------
                         Robert W. Kurtz, Executive Vice
                         President and Treasurer
















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