Lateral erosion of riverbanks has become a significant challenge to river ecosystems, infrastructure, and surrounding communities. Identifying lateral erosion and long-term monitoring is challenging, particularly in developing countries, due to the lack of access to advanced techniques such as high-quality LiDAR data and difficulties in applying other remote sensing techniques. Therefore, this research aims to investigate the potential of using a community-centred mechanism to measure lateral erosion of riverbanks, taking the Erathna and Lassakanda GN divisions as a case study, which are located along the Kuru Gaga, a tributary of the Kalu River. This study first develops the “lateral erosion susceptibility index” to measure the level of erosion based on literature analysis integrating multidimensional factors, including hydrological, geomorphological, climate, biological, and anthropogenic factors. The rest of the study uses participatory mapping, where local participants identify eight eroded locations in the study area. Then, the locals of the two GN Divisions comparatively rank each factor contributing to measuring the erosion susceptibility of the selected locations. The results indicate that hydrological and geomorphological factors are the primary contributors to high susceptibility, whereas biological and anthropogenic influences exhibit spatial variation across locations. Focus group discussion contributes to the development of location-specific erosion control mechanisms. The index helps to identify priorities for erosion control while investigating location-specific determinants of erosion. Local participants validate the final output of the susceptibility index and location-specific control mechanisms in another round of focus group discussion. This research emphasises the practicality and importance of using community-driven erosion susceptibility measuring techniques, which could empower local people to deepen the awareness of riverbank in their area while enabling a more informed and conscious rural community that can contribute to the long-term protection and conservation of local river ecosystems.