On 1 May 2025, the Financial Conduct Authority (FCA) published a new webpage, Consumer Duty: International payment pricing transparency – good and poor practice. The webpage sets out examples of good and poor practice in how firms communicate the cost of international payments.

Background

The FCA explains that it has seen differences in firms’ transparency on the cost of international money remittance and cross-border payments, and it is sharing examples of good practices so firms can improve how they help consumers understand how much they will pay. These examples are being shared in light of the Consumer Duty, which sets a new standard of protection for retail consumers across financial services.

The webpage is relevant to firms authorised under the Financial Services and Markets Act 2000 (FSMA), the Payment Services Regulations 2017 (PSRs) and Electronic Money Regulations 2011 (EMRs), for payment services offered to retail customers when those services involve a currency conversion. 

FCA’s review

The FCA has reviewed the websites of a sample of firms offering UK customers international money remittance and cross border payments, and assessed whether their communications gave clear pricing information before a transfer was initiated. It also looked at how firms interacted with reference rates (i.e. benchmark rates used to calculate the firm’s pricing).

Key findings

The FCA found that, although some firms were clearly displaying the amount recipients would receive based on the amount remitted, as well as details of fees and charges, this was not true of all firms. In particular:

• Transaction fees were not always clearly displayed.
• Additional fees, such as those charged by intermediary banks, were often not displayed up front. An intermediary bank acts as a bridge between the sending and receiving bank.
• It was not always clear fees could vary.
• Relevant information for consumers was not always easy to find.

These issues, the FCA warns, make it challenging for consumers to compare prices and make informed decisions.

The webpage describes what the FCA considers to be good and poor practice, and sets out examples of good and poor practices in relation to fixed fees, variable fees, and third party fees.

Next steps

The FCA reminds firms that under the Consumer Duty, they must regularly monitor the effectiveness of their communications in driving good outcomes for retail consumers. It also flags that it expects firms to review the information they provide to ensure consumers can understand the costs they will incur, compare choices, and make informed decisions – firms should use the examples to assist them with this.

The FCA plans to use its regular engagement with firms to reinforce its expectations, identify gaps in compliance and make sure appropriate action is taken to improve the service and support customers receive. It notes that it is likely to undertake future work in this area to understand what improvements have been made.