The University of Maryland is involved in discussion of playing home-and-home basketball games with Kentucky, Indiana, Houston, Arkansas and Boston College, among others.

The Terrapins have agreed to compete in the prestigious Rainbow Classic in Honolulu in December 1984.

Dick Dull, Maryland's director of athletics, also said yesterday the basketball team will cut down on the number of home games to keep from oversaturating the community. Therefore, the team will try to schedule at least two games in the Baltimore Civic Center against highly regarded nonconference opponents.

"We play too many games at Cole Field House," Dull said. "We need to diminish them. We are looking into playing 15 home games instead of 17. I want at least one good ball game in Baltimore, maybe an Atlantic Coast Conference game.

"Sometimes we have had three games in a week at Cole Field House and that's just too many. It's asking the community to support us beyond its ability. The attendance is a concern to me. We averaged about 10,000 per game this year and I'd like to see it at 12,000 to 13,000."

Dull said he was hoping to schedule a game against Minnesota of the Big Ten to be played in Baltimore, but hasn't had much success.