Banking Mediation

The "Banking Mediation" course is devoted to resolving disputes between financial institutions and their customers. Overdue debt, disagreements over the terms of a loan agreement, a borrower's difficulties in meeting their obligations — these are all situations in which the parties have an interest in finding a solution but often cannot get to a constructive conversation. Mediation makes it possible to find an option that takes into account both the lender's interest in recovering the funds and the borrower's real financial means, and to record it as a clear agreement.

Who the course is for

The programme is designed for two groups of participants, and studying together helps each of them better understand the other side's reasoning:

• mediators who want to work with disputes in the financial sector and understand how credit relationships work;
• staff of banks and microfinance organisations who handle problem debt, settle claims and deal with customers;
• lawyers representing the interests of lenders or borrowers;
• staff of departments responsible for service quality and handling customer complaints.

Learning objectives and outcomes

After completing the course, you will be able to:

• understand the structure of a credit dispute: the amount of the debt, its components, the stages of delinquency and the possible consequences for the parties;
• identify the interests of the lender and the borrower that go beyond their formal claims;
• conduct negotiations with regard to the borrower's real financial situation, not just the desired outcome;
• work with the parties to develop feasible restructuring options and repayment plans;
• deal with the tension, shame and mistrust that often accompany debt situations;
• record arrangements so that they are unambiguous and verifiable.

Course programme

1. The structure of credit disputes. Typical situations: temporary loss of income, over-indebtedness, disputes over charges, disagreements about contract terms. The participants in the dispute and their roles.
2. The parties' interests. What matters to the financial institution: recovery of funds, predictability, lower costs. What matters to the borrower: remaining solvent, keeping their home and reputation, being able to plan their budget.
3. Specific features of mediation in the financial sector. Imbalance of the parties' resources, the role of the institution's internal rules, the authority of the lender's representative, the importance of confidentiality.
4. Analysing the borrower's financial means. How to help a party honestly assess their income and essential expenses. Why an unrealistic repayment plan is worse than none at all.
5. Restructuring and feasible repayment plans. Options for rescheduling, deferral, staged repayment and partial settlement. Reality-testing the options for both parties.
6. Negotiating under pressure. Dealing with hard-line positions, threats and emotional reactions. How to keep the conversation on a constructive track.
7. Recording the arrangements. The content of the agreement, specific amounts and deadlines, consequences of breaching the arrangements, the procedure for revising the terms.
8. Ethics and neutrality. How to remain impartial if the mediator regularly works with the same financial institution. Disclosure of a potential conflict of interest.

Teaching methods

• lectures on how credit relationships work and the specifics of debt negotiations;
• case analysis covering different borrower profiles and types of debt;
• business games in which mediators and financial institution staff swap roles;
• simulation of the procedure — from the initial request to the signing of a repayment agreement;
• group review of draft agreements with an assessment of their feasibility.

Practical component

The practical sessions are built around training cases in which participants are given the initial data: the contract terms, payment history, information on the borrower's income and expenses, and the financial institution's position. Participants conduct the procedure and help the parties analyse the situation and develop a plan. Particular attention is paid to situations where the parties' initial expectations are incompatible and the mediator needs to help them find room for agreement. The practical work concludes with drafting the text of an agreement and reviewing it.

Assessment and certificate of completion

The final assessment is based on the results of the training procedure and the agreement prepared. Participants who complete the programme receive a certificate of completion. Please check the assessment procedure and the type of document with the course organiser.

Applying your knowledge after the course

After the course, mediators can list banking mediation among the types of disputes in their profile in the registry of mediators on the portal, add details of the training they have completed and accept requests concerning financial disputes. Financial institution staff will be able to structure negotiations with customers more effectively and work with mediators. If you plan to practise mediation professionally, bear in mind that you must meet the statutory requirements for professional mediators, including completing training under the professional mediator training programme.

Frequently asked questions

Can a bank employee act as a mediator in a dispute involving their own bank?

No, this would contradict the principles of a mediator's independence and impartiality. For financial institution staff, the course helps them take part in mediation more effectively as a party's representative.

Is specialist financial knowledge required?

In-depth financial knowledge is not required. The necessary concepts relating to credit relationships and debt structure are covered in the course.

Does mediation guarantee that a debt will be written off?

No. Mediation helps the parties reach agreement, and the terms of the agreement are determined by the parties themselves. The mediator does not make decisions on their behalf.

How long does the course last and how much does it cost?

Please check the duration and fees in the schedule and with the course organiser.

Can training be arranged for the staff of a single organisation?

Please check with the course organiser whether corporate training is available, using the application form or the portal's contact details.

How to enrol

Fill in the application form on this page or contact us through the portal's contacts section. Please state whether you represent a financial institution or practise as a mediator. You will be informed of the upcoming dates, format and terms of training.