This study aims to describe the implementation of financing risk management in BMT Mitra Usaha Ummat Branch Mudal, Sleman. So with the existence of risk management, the stalled financing becomes reduced. This type of research is qualitative research using descriptive analysis method. In this study, the data is obtained through observation, interview and documentation. The informants in this study are the financing managers of BMT Mitra Usaha Ummat, head and Account Officer of BMT Mitra Usaha Ummat Branch Mudal, customers who do financing in BMT Mitra Usaha Ummat Branch Mudal and also Account Officer of BMT Projo Artha Sejahtera. To test the validity of data, this study uses source triangulation. While for the analysis process there are three processes. That is data reduction, data presentation, and conclusion. The results obtained from this study is that the implementation of financing risk management in BMT Mitra Usaha Ummat is based on the policy of the General Manager of the BMT. But in practice, the steps of the implementation of risk management is through risk identification i.e. conducting 5C surveys and analyzes which include character, capital, condition of economic, capacity, and collateral analysis on each financing application submitted by a prospective customer. While the risks arising from the financing are caused by customers (external) factor and BMT (internal) factor. For the risk measurement, BMT Mitra Usaha Ummat Branch Mudal divide the financing into 4 groups of collectability, i.e. smooth collectability, less smooth collectability, doubtful collectability, and also stalled collectability. The financing risk is monitored through telephone and customer tutoring. While the risk control is done by preventive action and also the sale of customer warranty, as the final step of financing risk settlement and also the restructuring.