<PAGE>
Filed Pursuant to 424(B)(3)
File No. 333-24115
ABFS INVESTMENT NOTES
Begin Earning These High Rates
PROSPECTUS SUPPLEMENT DATED OCTOBER 31, 1997
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TERM RATE ANNUAL YIELD*
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<S> <C> <C> <C>
3 Months 7.25% 7.51%
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6 Months 7.50% 7.78%
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12 Months 8.50% 8.87%
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18 Months 8.75% 9.14%
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24 Months 9.00% 9.41%
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30 Months 9.25% 9.69%
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36 Months 9.60% 10.07%
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48 Months 9.85% 10.35%
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60 Months 10.40% 10.95%
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7 YEARS 10.50% 11.06%
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10 YEARS 10.60% 11.18%
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</TABLE>
New Money Market Note
Rate 6.15%
Annual Yield 6.34%*
Minimum For Investment Notes and Money Market Notes $1,000
For More Information Call
1-800-776-4001
AMERICAN BUSINESS FINANCIAL SERVICES, INC.
Balapointe Office Centre
111 Presidential Boulevard, Suite 215
Bala Cywnyd, PA 19004
1-800-776-4001
AMERICAN BUSINESS FINANCIAL SERVICES, INC.
IS A NASDAQ LISTED COMPANY (ABFI).
<PAGE>
An offer can only be made by the Prospectus dated May 27, 1997, delivered in
conjunction with this Rate Supplement dated October 31, 1997. See "Risk Factors"
for a discussion of certain factors which should be considered in connection
with an investment in the Notes.
* The Effective Annual Yield assumes all interest reinvested daily at the
stated rate. The rates for the Investment Notes are available through November
24, 1997. The interest rate paid on the Money Market Notes is subject to
change from time to time in the Company's sole discretion provided that such
rate shall not be reduced below 4.0% per year. Written notice of any decrease
in rate will be provided to holders of such notes at least 14 days prior to
the effective date of the change. No notice will be provided in connection
with an increase in the interest rate paid on such notes.
