The Australian Competition and Consumer Commission has called on providers of international money transfers to improve their presentation of pricing to consumers and small businesses, and warns it will take action against businesses that mislead consumers about the level of fees for FX services.The ACCC has released the results of review of the IMT market in a report called "Foreign currency conversion services inquiry". It found signs that recent competition from new entrants was delivering better consumer outcomes through lower prices and improved services. "However, we see scope for more robust competition, particularly in the supply of international money transfers," it said.The inquiry focused on FX services involving the conversion of Australian dollars to foreign currency, which are used by consumers and small businesses.The ACCC looked at pricing, competition, barriers to entry and whether there were factors limiting the ability of consumers to effectively compare services and prices.Australian consumers purchase the equivalent of over A$40 billion in foreign currency each year. The ACCC estimates that consumers who used the big four banks to send international money transfers in US dollars and pounds in 2017/18 could have saved $150 million if they had instead used the lowest priced IMT provider.Customers of the big four banks sending an international money transfer for £150 to the United Kingdom in February could have paid 20 per cent more than the cheapest service.The ACCC also found that Australian prices are high by global standards.The report says newer non-bank suppliers have changed the competitive dynamic for IMT services by offering lower prices and better service features than the big four banks. In response, the big four banks have reduced their prices and improved non-price aspects of their offerings, including improving ease of use and faster transfer speeds.While the big banks have reduced prices, those prices remain significantly higher than many other suppliers. "Loyalty to the big four banks costs customers," the ACCC says.Prices are complex, with the price of the service made up of a retail exchange rate, which typically includes a retail margin, and fees.Services that appear to be cheap when considering only fees or the retail exchange rate can turn out to be the most expensive option based on the total price. Services advertised as "no fee" can give the illusion that the price is lower than it really is.The ACCC says consumers have expressed concern that they do not always know that the total price for an FX service would be up-front.Measures to improve the presentation of pricing could include up-front information about correspondent banking fees, the provision of online calculators by IMT providers and disclosure of international transaction fees.Another issue of concern is that some non-bank suppliers have been denied access to banking services. The need to comply with anti-money laundering and counter-terrorism financing laws has been a factor in the banks' decisions to withdraw service."De-banking" is a significant threat to competition in the supply of IMTs. "To address this issue, we recommend a scheme through which IMT suppliers can address the