$6.6 billion fintech Clever accused by rival of harming competitors

Clever 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 Clever, which debuted on the London Inventory Trade in 2021, had been price £5.14 apiece at 10:30 a.m. London time, 2% under the Thursday market shut.

Clever has a market capitalization of £5.three billion ($6.6 billion).

Within the letter Atlantic Cash shared with CNBC, the corporate says Clever unfairly eliminated it from the value comparability part of its web site and refused to incorporate it on Exiap — a overseas change price comparability website that additionally belongs to Clever.

Clever owns two different foreign money switch comparability websites, Geldtransfer and Currencyshop.

Atlantic Cash stated within the letter that it was initially listed by Clever on its web site on Oct. 14, 2022. It was later delisted on Jan. 20, 2023, with Clever allegedly telling Atlantic Cash it was “now not deemed a reputable competitor.”

Within the letter, Atlantic Cash stated it believed Clever’s conduct was “dangerous to competitors throughout the UK and EU and, we’d submit, finally leads to increased charges for finish shoppers.”

Atlantic Cash affords a flat £three price on all foreign money conversions as much as £1 million. Its charges are decrease than Clever for transfers of £1,000 or extra.

Previously often known as TransferWise, Clever has lengthy touted itself as a champion of client rights, pushing for transparency across the charges charged by banks to maneuver cash throughout borders.

“We determined to take away Atlantic Cash in the meanwhile for plenty of operational causes, together with queries obtained from prospects about their enterprise. We take any complaints very severely,” a Clever spokesperson instructed CNBC by way of e mail, in response to a request for touch upon the Atlantic Cash letter.

“We’re actually proud to have the comparability device as a part of our web site, and we’re not afraid to checklist cheaper opponents. We have completed that for years and nonetheless do.”

The letter may very well be a precursor to a probe investigating whether or not Clever’s conduct breaches competitors legislation.

A CMA spokesperson stated that the regulator was unable to touch upon particular circumstances outdoors of a proper investigation.