There are too many issues with the whole village/bandit scenario.
1. When talking to the villagers in the tavern, the MC decides not to say they're from the Knights Guild, so that Greyson won't find out. However, Cassandra literally just informed him of that fact a short time before.
2. Why are the bandits so fixated on murdering everyone? It would be far more likely that they would have the intention to kill all of the men, but capture, rape and possibly sell the women.
3. Why were the MC's trio struggling so much while fighting solo against some random bandits? The MC and Lyra have been receiving training from/sparring against some of the top individuals in the kingdom. The MC was also recently able to put up somewhat of a fight against a vampire. It just doesn't make sense.
4. Why didn't Lyra play to her strengths? She could have perhaps climbed onto a roof in order to get a better overview of the village and snipe bandits.
5. The MC doesn't immediately press the advantage after disarming the bandit. He instead stops to listen to the nonsense about facing him like a man and even considers it. It is neither a spar nor a duel. It is a battle to the death and the longer it continues, the more people will die.
6. The cyclops. I can understand having them struggle somewhat against it and while I can also understand that arrows would have issues dealing with its tough skin and the same could be true for Arun's sword, I find it hard to believe that the MC's super special sword would stuggle to the same extent.
I'm sure there were other things that I'm forgetting, but overall it just felt forced. I'm guessing that the intent was to build tension, but it instead left me feeling underwhelmed and disappointed. I get that it's their first real mission, but still.