The Smart brand displayed on a smartphone display.
Pavlo Gonchar | SOPA Photos | LightRocket through Getty Photos
Smart has been accused by a rival fintech firm of undermining competitors within the cash switch market.
Atlantic Cash, a smaller overseas change service, made this allegation in a letter to the U.Ok. competitors watchdog, the Competitors and Markets Authority.
Shares of Smart, which debuted on the London Inventory Trade in 2021, had been price £5.14 apiece at 10:30 a.m. London time, 2% beneath the Thursday market shut.
Smart has a market capitalization of £5.3 billion ($6.6 billion).
Within the letter Atlantic Cash shared with CNBC, the corporate says Smart unfairly eliminated it from the worth comparability part of its web site and refused to incorporate it on Exiap — a overseas change charge comparability web site that additionally belongs to Smart.
Smart owns two different forex switch comparability websites, Geldtransfer and Currencyshop.
Atlantic Cash mentioned within the letter that it was initially listed by Smart on its web site on Oct. 14, 2022. It was later delisted on Jan. 20, 2023, with Smart allegedly telling Atlantic Cash it was “now not deemed a reliable competitor.”
Within the letter, Atlantic Cash mentioned it believed Smart’s conduct was “dangerous to competitors throughout the UK and EU and, we’d submit, finally leads to greater charges for finish shoppers.”
Atlantic Cash affords a flat £3 charge on all forex conversions as much as £1 million. Its charges are decrease than Smart for transfers of £1,000 or extra.
Previously referred to as TransferWise, Smart has lengthy touted itself as a champion of shopper rights, pushing for transparency across the charges charged by banks to maneuver cash throughout borders.
“We determined to take away Atlantic Cash in the intervening time for a lot of operational causes, together with queries acquired from clients about their enterprise. We take any complaints very critically,” a Smart spokesperson informed CNBC through e-mail, in response to a request for touch upon the Atlantic Cash letter.
“We’re actually proud to have the comparability software as a part of our web site, and we’re not afraid to checklist cheaper rivals. We have performed that for years and nonetheless do.”
The letter could possibly be a precursor to a probe investigating whether or not Smart’s conduct breaches competitors regulation.
A CMA spokesperson mentioned that the regulator was unable to touch upon particular instances outdoors of a proper investigation.