Mediation in Banking and Finance Disputes in Turkey

Introduction

Mediation in banking and finance disputes in Turkey offers bank customers, borrowers, guarantors, investors, financial institutions and commercial companies a confidential and flexible method for resolving disputes involving loans, bank accounts, transfers, credit cards, guarantees, security documents and financial services.

Banking disputes often arise from long-term contractual relationships containing complicated interest calculations, standard contractual clauses, payment schedules, account statements and security arrangements. A dispute may concern not only whether a debt exists but also how much is payable, when the debt became due, whether the bank acted within the contract and whether the security may lawfully be enforced.

Common banking and finance disputes in Turkey include:

• Commercial loan disputes;
• Consumer loan disputes;
• Credit card transactions;
• Unauthorised electronic transfers;
• Incorrect EFT or wire transfers;
• Account-blocking disputes;
• Bank fees and commissions;
• Interest calculations;
• Early repayment charges;
• Loan restructuring;
• Foreign-currency loans;
• Mortgage and pledge disputes;
• Bank guarantees;
• Letters of credit;
• Surety and guarantee liability;
• Investment-service disputes;
• Fraudulent banking transactions;
• Claims involving internet and mobile banking;
• Financial leasing and factoring disputes.

Depending on the legal status of the parties and the remedy requested, a banking dispute may be classified as a commercial dispute, consumer dispute or another private-law dispute. This classification determines the competent authority and whether mediation is a mandatory condition before filing a lawsuit.

Banking customers may also have access to specialised complaint mechanisms. The Banks Association of Türkiye operates the Individual Customer Arbitration Board for qualifying disputes between individual customers and member banks. The service is free, but the customer must first submit the complaint to the relevant bank and comply with the Board’s application conditions. As of 1 January 2026, banks are required to comply with Board decisions up to TRY 51,158, subject to the right to judicial review.

Mediation, the Individual Customer Arbitration Board, consumer arbitration committees, court proceedings and enforcement procedures are separate legal routes. Completing one route does not automatically mean that all conditions relating to another procedure have been satisfied.

The principal legislation governing mediation is Law No. 6325 on Mediation in Civil Disputes. The law applies to private-law disputes, including disputes involving a foreign element, where the parties are legally free to dispose of the subject matter.

This article explains mediation in banking and finance disputes in Turkey, including commercial and consumer banking claims, mandatory mediation, loan restructuring, account and payment disputes, unauthorised transactions, security enforcement, bank guarantees, investment disputes, complaint mechanisms and enforceable settlement agreements.

What Is a Banking and Finance Dispute?

A banking and finance dispute is a disagreement arising from financial products, banking services, credit relationships or payment transactions.

The dispute may arise between:

• A bank and an individual customer;
• A bank and a commercial borrower;
• A bank and a guarantor;
• A bank and a credit card holder;
• Two banks;
• A bank and a payment-service provider;
• A bank and an investor;
• A financial leasing company and a lessee;
• A factoring company and its customer;
• A borrower and a mortgage provider.

Banking disputes may be contractual, statutory, technical or evidentiary.

For example, a commercial borrower may accept that a loan was used but dispute:

• The interest rate;
• Default interest;
• Commissions;
• Account-closing calculations;
• Maturity date;
• Currency conversion;
• Enforcement amount.

An individual customer may deny authorising a mobile-banking transfer and claim that the bank failed to maintain an adequate security system.

A guarantor may argue that the guarantee is invalid, limited to a particular amount or no longer enforceable because of amendments to the underlying loan.

Mediation enables the parties to discuss these financial and legal issues together without requiring the mediator to impose a binding decision.

Why Banking Disputes Are Particularly Complex

Banking relationships frequently involve extensive documentation.

Relevant documents may include:

• General credit agreements;
• Consumer loan agreements;
• Credit card agreements;
• Account statements;
• Repayment schedules;
• Interest notices;
• Mortgage documents;
• Pledge agreements;
• Guarantee agreements;
• Surety documents;
• Payment orders;
• Electronic transaction logs;
• Telephone records;
• Security notifications;
• Investment orders;
• Risk disclosure forms;
• Enforcement documents.

The parties may also disagree about specialised financial concepts such as:

• Contractual interest;
• Default interest;
• Effective annual interest;
• Compound interest;
• Foreign-exchange differences;
• Early repayment;
• Capitalisation;
• Commission;
• Account-cutting dates;
• Acceleration of the entire loan;
• Collateral coverage.

A mediated resolution may require lawyers, banking experts, accountants, information-security specialists or financial advisers.

The mediator facilitates negotiations but does not replace these professionals.

Is Mediation Suitable for Banking and Finance Disputes?

Most private monetary disputes between banks, financial institutions and customers are suitable for mediation.

The parties may negotiate matters such as:

• Amount of debt;
• Interest reduction;
• Payment by instalments;
• Restructuring;
• Release of a mortgage;
• Return of an incorrect transfer;
• Reimbursement of bank charges;
• Compensation for unauthorised transactions;
• Enforcement expenses;
• Replacement of security;
• Withdrawal of a lawsuit;
• Closure of an enforcement file.

However, mediation cannot be used to:

• Prevent a regulator from exercising statutory powers;
• Validate money laundering or fraud;
• Eliminate criminal liability;
• Affect the rights of a non-participating third party;
• Circumvent mandatory banking regulations;
• Remove public-law obligations;
• Transfer registered security without complying with legal formalities.

The settlement must remain within the parties’ private rights and lawful authority.

Is Mediation Mandatory in Banking Disputes?

Mediation is not mandatory in every banking dispute.

The answer depends mainly on:

• Whether the dispute is commercial or consumer-related;
• The legal status of the parties;
• The nature of the financial product;
• The remedy requested;
• Whether another mandatory administrative or arbitration route applies.

Mandatory Commercial Mediation

A dispute between a bank and a commercial company may qualify as a commercial action.

Where the intended lawsuit seeks:

• Payment of money;
• Compensation;
• Annulment of an objection;
• Negative declaratory relief;
• Restitution,

the claimant may be required to apply to mediation before filing the covered commercial lawsuit.

Official Ministry of Justice materials explain the mandatory commercial mediation regime for covered monetary and compensation claims. Applications are generally submitted to courthouse mediation offices, and a final non-agreement report is required before proceeding with the lawsuit.

Examples may include:

• A bank’s claim for an unpaid commercial loan;
• A borrower’s claim for reimbursement of unlawful commissions;
• A commercial customer’s compensation claim for an incorrect transfer;
• A guarantor’s negative declaratory action;
• An action for annulment of objection following enforcement;
• Restitution of an allegedly excessive loan payment;
• A dispute arising from a commercial bank guarantee.

The precise classification should be determined before filing because a procedural error may delay the claim.

Consumer Banking Mediation

Banking services provided to an individual for non-commercial purposes may constitute consumer transactions.

Examples include:

• Personal loans;
• Housing finance;
• Individual credit cards;
• Deposit accounts;
• Individual payment services;
• Private investment services obtained as a consumer;
• Retail banking fees.

A covered consumer court action may require mandatory mediation before litigation, subject to statutory exceptions.

Lower-value consumer disputes may instead fall within the jurisdiction of consumer arbitration committees. The competent procedure depends on the amount and legislation applicable on the application date.

A customer should therefore determine whether the dispute should be submitted to:

• The bank’s internal complaint system;
• The Banks Association of Türkiye Individual Customer Arbitration Board;
• A consumer arbitration committee;
• Mandatory consumer mediation;
• Consumer court;
• Another specialised authority.

Voluntary Mediation

Even where mediation is not a procedural condition, the bank and customer may use voluntary mediation.

Voluntary mediation may be particularly useful where:

• The bank accepts part of the customer’s complaint;
• A commercial borrower seeks restructuring;
• Interest calculations are disputed;
• Security may be replaced;
• A rapid solution is commercially valuable;
• The parties wish to preserve their relationship;
• Public litigation may damage reputation;
• Foreign parties are involved.

The parties may jointly select a registered mediator experienced in banking, commercial or consumer law.

Direct Application to the Bank

Before beginning formal proceedings, the customer should ordinarily submit a written complaint to the bank.

The complaint should identify:

• Customer’s name;
• Account or loan number;
• Transaction date;
• Disputed amount;
• Nature of the complaint;
• Legal request;
• Supporting documents;
• Contact information.

The customer should preserve:

• Application receipt;
• Email;
• Reference number;
• Bank response;
• Call records;
• Screenshots;
• Account statements.

A clear prior application may help the bank’s internal legal or customer-relations department evaluate the issue and may be a prerequisite for another complaint mechanism.

For applications to the Banks Association of Türkiye Individual Customer Arbitration Board, the customer must first apply to the relevant bank and submit the bank’s response or proof of the application.

The Individual Customer Arbitration Board

The Banks Association of Türkiye Individual Customer Arbitration Board provides a specialised, free complaint mechanism for qualifying individual customer disputes.

The Board’s current published rules state that:

• The customer must first apply to the bank;
• The disputed event must generally have occurred within two years before the Board application;
• The bank’s ordinary response period is 30 days;
• For credit card complaints, the response period is 20 days;
• The Board generally examines applications within 90 days;
• Banks must comply with decisions up to TRY 51,158 as of 1 January 2026, subject to judicial review.

The Board procedure should not be confused with mediation.

In mediation:

• The mediator does not decide the dispute;
• Settlement requires mutual agreement;
• The parties may negotiate any lawful structure.

Before the Arbitration Board:

• The file is examined under the Board’s rules;
• A decision is issued;
• Monetary and procedural limitations apply.

A customer should compare both routes before proceeding.

Commercial Loan Disputes

Commercial loan disputes may concern:

• Unpaid loan instalments;
• Acceleration;
• Interest;
• Default interest;
• Restructuring;
• Commissions;
• Foreign-currency conversion;
• Security enforcement;
• Account reconciliation.

The bank may argue that the borrower defaulted and the full debt became due.

The borrower may argue that:

• The acceleration notice was defective;
• Payments were not credited properly;
• Interest was calculated incorrectly;
• Commissions were not contractually valid;
• The bank acted inconsistently with restructuring discussions;
• The debt was secured by collateral exceeding the amount owed.

Mediation may produce:

• New repayment schedule;
• Reduction of default interest;
• Partial debt forgiveness;
• Grace period;
• Additional security;
• Replacement of collateral;
• Sale of an asset under an agreed timetable;
• Release of guarantors after payment.

A restructuring agreement should not be signed without a complete statement of account.

Loan Restructuring

Loan restructuring allows the parties to modify the original payment terms.

A restructuring settlement may include:

• New maturity date;
• Reduced monthly instalments;
• Interest adjustment;
• Grace period;
• Balloon payment;
• Additional collateral;
• Partial immediate payment;
• Waiver of some charges;
• Suspension of enforcement.

The agreement should clearly state whether restructuring:

• Replaces the original debt;
• Merely reschedules payment;
• Preserves existing security;
• Creates a new guarantee;
• Causes previous defaults to be waived;
• Affects pending enforcement proceedings.

A vague restructuring arrangement may create a second dispute.

Consumer Loan Disputes

Consumer loan disputes may arise from:

• Personal loans;
• Housing finance;
• Vehicle loans;
• Early repayment;
• Insurance products linked to the loan;
• File fees;
• Interest;
• Payment allocation;
• Automatic account deductions.

The customer may allege that:

• Charges were not properly disclosed;
• An insurance policy was imposed;
• An early repayment amount was miscalculated;
• The bank deducted money unlawfully;
• Contractual terms were unfair;
• A payment was not credited.

The bank may rely on:

• Signed agreement;
• Pre-contractual information;
• Account records;
• Payment schedule;
• Customer instructions;
• Applicable statutory rules.

Mediation may resolve a consumer loan dispute through reimbursement, correction of records or restructuring.

Housing Finance and Mortgage Disputes

Housing finance disputes may involve both debt and real estate security.

Common issues include:

• Unpaid mortgage loan;
• Acceleration;
• Early repayment;
• Interest adjustment;
• Mortgage release;
• Sale of the property;
• Insufficient insurance;
• Co-borrower liability;
• Guarantor liability.

A mediated settlement may provide that:

• The borrower sells the property within a defined period;
• The bank releases the mortgage after receiving a specified amount;
• The debt is restructured;
• Enforcement is suspended conditionally;
• Another property is offered as security.

The agreement should state:

• Mortgage details;
• Land registry information;
• Secured debt;
• Release conditions;
• Payment account;
• Deadline for registry action;
• Responsibility for costs.

The settlement itself may not automatically remove a registered mortgage. The required land registry procedures must be completed.

Credit Card Disputes

Credit card disputes may concern:

• Unauthorised transactions;
• Cash advances;
• Interest;
• Late payment;
• Annual fees;
• Instalment cancellation;
• Merchant disputes;
• Chargebacks;
• Card theft;
• Virtual-card transactions.

The customer should report unauthorised transactions immediately and preserve:

• Transaction messages;
• Bank notifications;
• Police or prosecutor records;
• Device information;
• Merchant correspondence;
• Card statements.

The bank may investigate:

• Authentication method;
• Password use;
• Device registration;
• Confirmation messages;
• Transaction pattern;
• Customer notification.

Mediation may result in:

• Full reimbursement;
• Partial reimbursement;
• Cancellation of interest;
• Restructuring of the undisputed balance;
• Correction of credit records where legally appropriate.

Unauthorised EFT, Wire and Mobile-Banking Transactions

Unauthorised electronic transfers have become one of the most significant areas of banking disputes.

A customer may claim that money was transferred without valid consent following:

• Phishing;
• Malware;
• SIM-card fraud;
• Social engineering;
• Remote-access software;
• Stolen credentials;
• Compromised devices;
• Fraudulent call-centre contact.

The bank may argue that:

• The correct password was used;
• Strong authentication was completed;
• The transaction came from the customer’s device;
• The customer shared security information;
• Warnings were ignored.

The dispute may require technical analysis of:

• IP records;
• Device data;
• Login logs;
• One-time passwords;
• Call records;
• Transaction limits;
• Security alerts;
• Customer behaviour.

Mediation may allow risk to be shared where both technical security and customer conduct are disputed.

However, mediation should not interfere with criminal investigation or evidence preservation.

Incorrect Transfers

A transfer may be made:

• To the wrong account;
• In the wrong amount;
• Twice;
• In the wrong currency;
• After an incorrect instruction;
• Because of a banking-system error.

Possible parties include:

• Sender;
• Sending bank;
• Receiving bank;
• Recipient;
• Payment-service provider.

A mediator may help coordinate:

• Return of funds;
• Verification of account ownership;
• Payment schedule;
• Bank expense allocation;
• Release of claims.

Where the recipient refuses to return funds, litigation or enforcement may still be necessary.

Account Blocking and Freezing Disputes

Customers may challenge restrictions placed on bank accounts.

An account may be blocked because of:

• Court order;
• Enforcement attachment;
• Public-authority request;
• Compliance investigation;
• Suspicious transaction review;
• Contractual set-off;
• Security concerns;
• Identity-verification problem.

Mediation may be appropriate only where the dispute concerns the bank’s private-law conduct and the bank has legal authority to settle.

The bank cannot disregard:

• Court orders;
• Enforcement attachments;
• Regulatory obligations;
• Anti-money-laundering requirements;
• Public-authority instructions.

The parties should first identify the legal source of the restriction.

Bank Fees and Commissions

Disputes over fees may concern:

• Loan allocation fee;
• Account-maintenance fee;
• Credit card annual fee;
• Money-transfer commission;
• Early closure charges;
• Guarantee commission;
• Cash-management fees;
• Restructuring fees.

The customer may argue that the fee:

• Was not disclosed;
• Was not contractually agreed;
• Was excessive;
• Was charged twice;
• Had no corresponding service;
• Violated consumer rules.

The bank may rely on the contract, tariff and customer information documents.

A settlement may involve reimbursement, future fee waiver or correction of the account.

Interest Calculation Disputes

Interest disputes may concern:

• Contractual rate;
• Variable interest;
• Default interest;
• Compound interest;
• Accrual period;
• Payment allocation;
• Foreign currency;
• Capitalisation;
• Tax charges.

The parties may appoint an independent banking or accounting expert.

The expert may prepare:

• Principal balance;
• Contractual interest;
• Default interest;
• Payments credited;
• Commissions;
• Remaining amount.

The settlement should attach or refer to the accepted calculation.

Set-Off and Account Deduction

A bank may deduct amounts from an account based on contractual set-off rights.

The customer may argue that:

• The funds were exempt;
• The debt was not due;
• The amount belonged to a third person;
• The deduction exceeded contractual authority;
• The account was a salary account;
• The set-off clause was invalid or unfair.

Mediation may resolve:

• Amount to be returned;
• Amount applied to the debt;
• Future deduction method;
• Restructuring.

Public-law restrictions and mandatory protections must still be observed.

Guarantor and Surety Disputes

A bank may seek payment from:

• Personal guarantor;
• Corporate guarantor;
• Surety;
• Co-borrower;
• Mortgage provider.

The guarantor may challenge:

• Validity of the guarantee;
• Required form;
• Maximum amount;
• Duration;
• Spousal-consent requirements where applicable;
• Changes to the main debt;
• Release of other collateral;
• Payment calculation;
• Acceleration.

A settlement may provide:

• Limited contribution;
• Release after payment;
• Replacement by another security;
• Transfer of recourse rights;
• Instalments.

The agreement must distinguish between the borrower’s debt and the guarantor’s liability.

Bank Guarantees and Letters of Guarantee

Commercial disputes involving bank guarantees may concern:

• Whether a demand complies with the guarantee;
• Expiry;
• Amount;
• Conditional or unconditional nature;
• Fraud allegations;
• Underlying contractual dispute;
• Counter-guarantee;
• Reimbursement by the bank’s customer.

Mediation may include:

• Beneficiary;
• Bank;
• Applicant;
• Contractor;
• Employer.

The parties may agree on:

• Partial payment;
• Extension;
• Replacement guarantee;
• Withdrawal of demand;
• Escrow;
• Settlement of the underlying contract.

Urgent court measures may still be necessary where payment under the guarantee is imminent and legally disputed.

Letters of Credit and Trade Finance

International trade disputes may involve:

• Letters of credit;
• Documentary collection;
• Export financing;
• Import financing;
• Confirmation banks;
• Documentary discrepancies;
• Payment refusal.

These disputes are document-intensive and may involve foreign banks and international rules.

Mediation may be useful where the parties wish to preserve the commercial transaction or agree on substitute documents and payment.

The settlement should address:

• Governing law;
• International banking rules;
• Currency;
• Correspondent-bank fees;
• Documentary conditions;
• Cross-border enforcement.

Financial Leasing Disputes

Financial leasing disputes may concern:

• Lease payments;
• Delivery of equipment;
• Defects;
• Insurance;
• Termination;
• Return of the asset;
• Ownership transfer;
• Foreign-currency obligations.

Mediation may allow:

• Restructuring;
• Return of the asset;
• Sale to a third party;
• Payment of the remaining balance;
• Transfer of ownership;
• Settlement of damage claims.

The asset should be identified precisely through serial numbers, registration details and location.

Factoring Disputes

Factoring disputes may involve:

• Validity of assigned receivables;
• Debtor notification;
• Non-existent invoices;
• Recourse;
• Advance repayment;
• Fraud allegations;
• Collection commissions.

Potential participants include:

• Factoring company;
• Assignor;
• Account debtor;
• Guarantor;
• Insurer.

Multi-party mediation may prevent conflicting claims over the same receivable.

Investment and Brokerage Disputes

Banking and financial institutions may provide investment services involving:

• Securities;
• Funds;
• Bonds;
• Derivatives;
• Foreign currency;
• Structured products.

Disputes may concern:

• Unauthorised transactions;
• Suitability and appropriateness;
• Risk disclosure;
• Incorrect execution;
• Failure to follow instructions;
• Misleading information;
• Investment loss.

The fact that an investment lost value does not automatically establish liability.

The dispute may require examination of:

• Customer profile;
• Risk form;
• Transaction orders;
• Recorded calls;
• Market conditions;
• Product information;
• Execution time.

Mediation may resolve cases where procedural failures and market risk are both disputed.

Evidence in Banking Mediation

A complete banking dispute file may include:

• Agreements;
• Account statements;
• Payment receipts;
• Loan schedules;
• Bank notices;
• Electronic correspondence;
• Call-centre records;
• SMS messages;
• Device and IP data;
• Security reports;
• Expert calculations;
• Enforcement notices;
• Mortgage and pledge records;
• Police or prosecutor documents.

The parties should preserve electronic evidence promptly because certain logs may be retained only for defined periods.

Mediation confidentiality does not make pre-existing evidence inadmissible merely because it was exchanged during the process. Protected settlement proposals and negotiation statements must be distinguished from independently existing banking records. Law No. 6325 regulates confidentiality and limits the use of mediation-specific statements and documents in later proceedings.

Interim Measures and Evidence Preservation

Mediation does not automatically suspend:

• Enforcement;
• Sale of mortgaged property;
• Account attachment;
• Expiry of a bank guarantee;
• Transfer of disputed funds;
• Evidence loss.

A party may need to seek:

• Preliminary injunction;
• Interim attachment;
• Suspension under the applicable enforcement rules;
• Preservation of electronic evidence;
• Expert examination;
• Court determination.

Mediation may continue alongside lawful protective proceedings.

Confidentiality

Banking mediation may involve highly sensitive information, including:

• Account balances;
• Business cash flow;
• Credit limits;
• Personal financial data;
• Security details;
• Fraud investigations;
• Investment positions;
• Commercial secrets.

Law No. 6325 establishes confidentiality obligations for the mediator and participants unless otherwise agreed within legal limits.

A confidentiality protocol may regulate:

• Access to account documents;
• Disclosure to accountants;
• Disclosure to guarantors;
• Information shared with regulators;
• Data security;
• Return or destruction of documents.

A settlement cannot prevent legally required disclosure to regulators, courts, enforcement offices or criminal authorities.

Multi-Party Banking Mediation

A financial dispute may involve:

• Bank;
• Borrower;
• Guarantor;
• Mortgage provider;
• Shareholder;
• Payment-service provider;
• Merchant;
• Insurance company;
• Receiving bank.

A bilateral agreement may not resolve the entire dispute.

For example, restructuring the borrower’s debt may require:

• Guarantor approval;
• New mortgage;
• Release of old collateral;
• Consent of co-owners;
• Insurance changes.

All necessary parties should participate or sign the relevant implementation documents.

Drafting a Banking Mediation Settlement Agreement

A banking settlement should clearly identify:

• Bank;
• Customer or borrower;
• Account or loan number;
• Original contract;
• Principal debt;
• Interest;
• Commissions;
• Prior payments;
• Settlement amount;
• Currency;
• Payment dates;
• Security;
• Enforcement files;
• Release;
• Default;
• Costs;
• Tax;
• Confidentiality;
• Enforceability.

Debt Reconciliation

The settlement should include a clear financial reconciliation.

It may state:

• Original principal;
• Contractual interest;
• Default interest;
• Bank charges;
• Enforcement expenses;
• Payments received;
• Amount waived;
• Final settlement balance.

The borrower should not sign an acknowledgment of debt without reviewing the calculation.

Instalments and Acceleration

An instalment plan should identify:

• Amount of each instalment;
• Due date;
• Payment account;
• Grace period;
• Default interest;
• Acceleration;
• Consequence of partial payment;
• Release of security.

The agreement should state whether failure to pay one instalment makes the entire balance due.

Security

A banking settlement may preserve or create:

• Mortgage;
• Pledge;
• Assignment of receivables;
• Bank guarantee;
• Personal guarantee;
• Corporate guarantee;
• Escrow.

The agreement should state:

• Which security continues;
• Which security is released;
• When release occurs;
• What new security is required;
• Who bears registration expenses.

A release should not occur before the agreed condition is satisfied unless the bank intentionally accepts that risk.

Enforcement Proceedings

Where enforcement has begun, the settlement should identify:

• Enforcement office;
• File number;
• Claimed amount;
• Objection;
• Existing attachments;
• Sale procedures;
• Payment method;
• File closure.

The parties may agree that:

• Enforcement is suspended during timely payment;
• Attachments remain until final payment;
• Certain attachments are released;
• The file closes after performance;
• The debtor withdraws an objection;
• The bank waives part of the enforcement claim.

The settlement should not use vague language such as “the enforcement file will be handled accordingly.”

Conditional Release

Where payment is deferred, the borrower may request immediate release while the bank may require continued security.

A balanced clause may provide that:

• The bank’s release becomes effective after full payment;
• The customer’s claims are released after reimbursement;
• Enforcement is withdrawn after the final instalment;
• Security remains until performance;
• A partial release occurs after defined milestones.

Conditional releases prevent one party from losing legal protection before receiving performance.

Enforceability

A valid banking mediation settlement is binding.

Under Law No. 6325, parties may seek an enforceability annotation where required. Depending on the subject matter and signature structure, certain agreements may qualify as judgment-equivalent enforceable documents without a separate annotation. Matters clearly settled generally cannot be litigated again between the same parties.

The obligations must be sufficiently clear for compulsory enforcement.

A clause stating that the bank will “review the customer’s account” is not equivalent to an obligation to pay a specified amount by a specified date.

What Happens If Mediation Fails?

If no agreement is reached, the party may pursue the appropriate route, including:

• Commercial court;
• Consumer court;
• Consumer arbitration committee;
• Enforcement proceeding;
• Negative declaratory action;
• Annulment-of-objection action;
• Individual Customer Arbitration Board;
• Another specialised mechanism.

Where mediation is a condition of action, the final non-agreement report must be obtained and used in the subsequent lawsuit. Applications are made through courthouse mediation offices or designated registries where no separate office exists.

Limitation Periods

Banking claims may have different limitation or forfeiture periods depending on:

• Loan;
• Account;
• Payment transaction;
• Guarantee;
• Security;
• Consumer claim;
• Enforcement proceeding;
• Investment service.

Mediation protects time only within the statutory framework and does not revive a claim that had already expired before the process began.

Other deadlines, such as enforcement objections, appeals or complaint periods, may continue independently.

A lawyer should prepare a separate deadline analysis before mediation.

Foreign Banks and International Finance

Foreign banks, investors and companies may use mediation in Turkey for eligible disputes involving a foreign element. Law No. 6325 expressly covers private-law disputes containing a foreign element where the parties may freely dispose of the subject matter.

International banking disputes may concern:

• Syndicated loans;
• Foreign-currency facilities;
• Cross-border guarantees;
• Letters of credit;
• Project finance;
• International transfers;
• Foreign collateral;
• Parent-company guarantees.

The settlement should address:

• Governing law;
• Jurisdiction or arbitration;
• Currency;
• Exchange-rate source;
• Withholding and tax;
• Correspondent-bank charges;
• Controlling language;
• Corporate authority;
• Cross-border enforcement.

Foreign corporate documents may require notarisation, apostille or consular legalisation and sworn translation.

Common Mistakes in Banking Mediation

Failing to Obtain a Full Statement of Account

The borrower may accept an incorrect balance.

Confusing Regulatory Complaints With Compensation Claims

A regulator’s review may not automatically provide private compensation.

Ignoring the Consumer–Commercial Classification

The incorrect procedure may be selected.

Failing to Apply to the Bank First

This may prevent or delay an application to the Individual Customer Arbitration Board.

Signing a Broad Debt Acknowledgment

Existing objections may be waived unintentionally.

Releasing Security Before Performance

The creditor may lose effective protection.

Failing to Address Interest

The settlement amount may remain uncertain.

Omitting Pending Enforcement Files

Attachments and costs may continue.

Ignoring Guarantors

A restructuring may affect or require their consent.

Assuming Mediation Stops Every Deadline

Enforcement and procedural periods require separate review.

Using Vague Account-Correction Language

The obligation may not be enforceable.

Practical Checklist

Before signing a banking settlement, the parties should confirm:

• Correct bank and customer identity;
• Contract number;
• Account number;
• Principal balance;
• Interest;
• Commissions;
• Prior payments;
• Disputed transactions;
• Security;
• Guarantors;
• Enforcement files;
• Settlement amount;
• Instalments;
• Default;
• Release;
• Account correction;
• Credit records;
• Costs;
• Confidentiality;
• Enforceability.

The Role of a Turkish Banking Mediation Lawyer

A Turkish banking and finance lawyer may assist by:

• Determining whether mediation is mandatory;
• Classifying the dispute as consumer or commercial;
• Reviewing loan and account documents;
• Calculating interest and debt;
• Challenging unauthorised transactions;
• Coordinating technical experts;
• Preparing the bank complaint;
• Evaluating the Individual Customer Arbitration Board;
• Negotiating restructuring;
• Protecting guarantors;
• Reviewing mortgages and pledges;
• Drafting an enforceable settlement;
• Seeking interim protection;
• Filing litigation or enforcement proceedings after failed mediation.

Banking mediation requires both legal and financial analysis.

Frequently Asked Questions

Can banking disputes be mediated in Turkey?

Yes. Private monetary and contractual disputes between banks, customers, borrowers and guarantors are generally suitable for mediation.

Is mediation mandatory before every banking lawsuit?

No. Mandatory mediation depends on whether the intended action falls within commercial or consumer mandatory-mediation rules.

Must an individual customer apply to the bank first?

A prior written bank application is required before applying to the Banks Association of Türkiye Individual Customer Arbitration Board.

Is the Individual Customer Arbitration Board free?

Yes. The Banks Association of Türkiye states that its service is free.

What is the binding limit for banks in 2026?

Banks must comply with qualifying Board decisions up to TRY 51,158 as of 1 January 2026, subject to judicial review.

Can a commercial loan be restructured through mediation?

Yes. The parties may agree on maturity, interest, instalments, security and enforcement.

Can unauthorised mobile-banking transactions be mediated?

Yes. The parties may negotiate reimbursement, but technical evidence and any criminal investigation should be preserved.

Can a mortgage be removed through the settlement alone?

Not necessarily. The bank must complete the required land registry release procedure.

Can a guarantor participate?

Yes. The guarantor should participate where the settlement affects the guarantee liability.

Can enforcement be suspended during instalments?

The parties may agree on conditional suspension, but the agreement should regulate attachments, sale procedures and default clearly.

Is the settlement confidential?

Yes. Turkish mediation law establishes confidentiality obligations for the mediator and participants.

Is a mediation settlement enforceable?

A valid, clear and properly signed settlement may be enforceable under Law No. 6325, subject to the applicable requirements.

Can a foreign bank participate?

Yes. Foreign parties may participate directly or through authorised representatives in eligible private-law disputes.

Conclusion

Mediation in banking and finance disputes in Turkey provides a flexible and confidential method for resolving disputes involving loans, accounts, payment transactions, credit cards, guarantees, mortgages and financial services.

Banking disputes may involve:

• Commercial loans;
• Consumer loans;
• Credit cards;
• Unauthorised transfers;
• Bank fees;
• Interest;
• Loan restructuring;
• Mortgages;
• Guarantees;
• Investment services;
• Financial leasing;
• Factoring;
• Trade finance.

The correct procedural route depends on the parties and the requested remedy.

A dispute may be handled through:

• Internal bank complaint;
• Voluntary mediation;
• Mandatory commercial mediation;
• Mandatory consumer mediation;
• Individual Customer Arbitration Board;
• Consumer arbitration committee;
• Court proceedings;
• Enforcement.

For qualifying individual customer complaints, the Banks Association of Türkiye Individual Customer Arbitration Board provides a free process. The customer must first apply to the bank, and the disputed event must generally fall within the Board’s two-year application rule. As of 1 January 2026, banks must comply with Board decisions up to TRY 51,158, subject to judicial review.

This specialised mechanism does not replace mediation in every case. Mediation allows the parties to negotiate flexible solutions that a complaint board or court may not design, including:

• New repayment schedule;
• Interest reduction;
• Conditional suspension of enforcement;
• Release or replacement of security;
• Partial reimbursement;
• Return of funds;
• Restructuring of commercial finance;
• Release of guarantors.

Before settlement, the parties should verify the full financial calculation. Principal, contractual interest, default interest, commissions, expenses and prior payments should be identified separately.

A banking settlement should regulate:

• Payment amount;
• Currency;
• Instalments;
• Default;
• Acceleration;
• Security;
• Guarantors;
• Enforcement files;
• Account correction;
• Release;
• Costs;
• Enforceability.

A borrower should not sign a broad acknowledgment of debt without examining the bank’s calculation. A bank should not release security before receiving the agreed performance unless it intentionally accepts that risk.

Unauthorised electronic transaction disputes require immediate preservation of technical evidence, including device information, authentication logs, messages and call records. Mediation may resolve the financial claim, but it should not obstruct criminal investigation or regulatory duties.

Where mediation fails, the claimant should proceed promptly through the competent court, enforcement office, consumer mechanism or specialised banking complaint process. Mandatory mediation reports and limitation periods must be reviewed carefully.

An experienced Turkish banking mediation lawyer can analyse the financial records, determine the correct procedure, negotiate restructuring and prepare a legally secure and enforceable settlement.

Disclaimer: This article is provided for general informational purposes only and does not constitute legal, financial, banking, investment or tax advice. Turkish mediation, banking, consumer, commercial and procedural rules may change. Each dispute should be evaluated according to the contract, transaction records, parties, requested remedy and legislation in force on the relevant date.