Formal debt mediation has primarily been a financial dispute resolution approach used in the United States and Western Europe, but now this method of resolving financial problems has spread to Bosnia, an Eastern European nation that used to be part of the nation of Yugoslavia.  The Center for Financial and Credit Counseling was set up just last year in the city of Tuzla and seeks to educate consumers about the negative personal and professional effects of acquiring too much debt.  The center uses methods such as financial instructional workshops as well as debt and foreclosure mediation for those already in over their head.

Debt Mediation Center Established through International Agencies

The Center for Financial and Credit Counseling owes its existence to several international agencies as well as national entities that have contributed to its funding.  These include the International Finance Corporation, a division of the World Bank; the Department for International Development, a UK agency; the European Fund for Southeast Europe, an investment fund administered by the tiny nation of Luxemburg; and Oikocredit, a cooperative based in the Netherlands.

At this time, debtors can use the services provided by the center without paying any fees or other assessments.  Reports indicate that almost 400 debtors in Bosnia have availed themselves of the service even though it has only been in operation for little more than a year.