A Post editorial of June 1 {''To Prevent More S&L Scandals''} begins on the right track but quickly becomes derailed.

The Post is absolutely correct in stating that tampering with the $100,000 deposit insurance coverage at banks and savings institutions would cause instability in the financial system.

But the way to reduce the liability facing taxpayers is to support and strengthen the honest, well-managed S&Ls, not abolish them.

The surviving savings institutions and their subsidiaries -- more than 2,000 already meet or exceed the tough new tangible capital standard imposed by the Financial Institutions Reform, Recovery and Enforcement Act -- continue to originate nearly half the residential mortgages in this country.

The Post is kidding itself if it believes other lenders would step in to fill the void left if S&Ls were put out of business. No other group of financial institutions has demonstrated a continuing commitment -- as savings institutions have for more than half a century -- to serving the needs of American home buyers.

FIRREA put in place more than ample safeguards to protect taxpayers in the future. The best way to save tax dollars now is to speed the disposition of insolvent institutions.

It's fashionable these days to write off S&Ls as specialized lenders whose time has passed. But more than 2,000 S&Ls and millions of Americans who do business with us don't agree with The Post. And we will fight to remain who we are.

FRED WEBBER

President

United States League of Savings Institutions Washington