PROSPECTUS RATE SUPPLEMENT DATED DECEMBER 18, 1997
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<CAPTION>
TERM ANNUAL EFFECTIVE
RATE ANNUAL YIELD*
<S> <C> <C>
7.10% 7.35%
3 Months
6 Months 7.15% 7.41%
- - --------- ------- --------------
12 Months 8.50% 8.87%
------- --------------
18 Months 9.00% 9.41%
- - --------- --------------
24 Months 9.25% 9.69%
- - --------- ------- --------------
30 Months 9.50% 9.96%
- - --------- ------- --------------
36 Months 9.75% 10.24%
- - --------- ------- --------------
48 Months 10.00% 10.51%
------- --------------
60 Months 10.50% 11.06%
------- --------------
7 Years 10.75% 11.35%
------- --------------
10 Years 11.00% 11.63%
- - --------- ------- --------------
</TABLE>
FIRST NATIONS FINANCIAL SERVICES COMPANY
CHRISTIANA EXECUTIVE CAMPUS
220 CONTINENTAL DRIVE, SUITE 310
NEWARK, DELAWARE 19713-4314
TELEPHONE (302) 292-2100
FAX (302) 292-2151
1-800-790-2474 - 24 HOURS
*The executive annual yield assumes all interest reinvested at current rate
daily. Subordinated Investment Notes represent obligations of the Company and
are not certificates of deposit or insured by the FDIC or any governmental or
private entity. This announcement is neither an offer to sell nor a
solicitation of an offer to buy Subordinated Investment Notes. This offer is
made by prospectus only accompanied by a Rate Supplement.
Offering available to residents of DE, FL, GA, NC, SC, NY.
