FUND FOR TAX FREE INVESTORS INC
497, 1995-08-31
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August 31, 1995


VIA EDGAR TRANSMISSION

Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C.  20549

Re:  Fund for Tax-Free Investors, Inc.
        File Nos. 2-83299 and 811-3720

Dear Sir or Madam:

Pursuant to Rule 497(e) under the Securities Act of 1933, as
amended, enclosed for filing on behalf of the Fund for Tax-Free
Investors, Inc. (the "Fund") please find a copy of the Prospectus
Supplement, dated August 31, 1995, which Prospectus Supplement will be
affixed to the cover page of the Prospectus for the Fund for Tax-Free
Investors Virginia and Maryland Portfolios, each a series of the Fund
(the "Portfolios"), that are distributed to shareholders of, or
potential investors in, the Portfolios.

If you should have any questions regarding the foregoing, please
contact the undersigned at (310) 657-0003.

                                     Very truly yours,




                                      Linda R. Paisley

Enclosure:
  As Stated

cc:  James Bernstein, Esq.


























FUND FOR TAX-FREE INVESTORS, INC.
RUSHMORE MARYLAND TAX-FREE PORTFOLIO
RUSHMORE VIRGINIA TAX-FREE PORTFOLIO

Supplement dated August 31, 1995 to Prospectus dated April 28, 1995

The time after which purchases by wire transfer and purchases through
brokers cannot be accepted is hereby changed from "2:30 P.M. Eastern
time" to "4:00 P.M. Eastern time," as set forth at page 12 under "How to
Invest in the Fund."




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