The Director of Consumer Affairs, Ms Carmel Foley, has criticised the way some financial institutions have handled the introduction of the euro.
She said spot checks carried out by her officials at branches had found three major shortcomings.
It was of "serious concern" that many branches did not properly display conversion rates, information leaflets were not provided and most seriously, some staff did "not appear to be fully trained in the new pricing arrangements".
She said staff at some financial institutions had "stared blankly" at her officials when they inquired about euro transactions.
Ms Foley has written to all financial institutions warning that the shortcomings in their operations must be addressed.
Some of them have already replied, telling Ms Foley that procedures will be improved and staff will be better trained.
Further spot checks will be carried out by her office, said Ms Foley, and if financial institutions fail to improve their performance, action, including court injunction, may be taken. Ms Foley said it was important that banks display all their charges, including those for travellers' cheques and drafts.
When asked why conversion rates were not displayed, many financial institutions said there had been printing difficulties, while others said the information was in their branches but had yet to be displayed.
Ms Foley said on the "credit side", three institutions had reduced their charges for processing euro zone currencies. As reported in The Irish Times on Saturday, ACC has dropped its charges, while Ulster Bank and AIB have dropped their charges for drafts.
Ms Foley said she expected further reductions as consumers learned to shop around. The European Commission is currently investigating the issue of euro charges, although the Irish Bankers' Federation has said it does not expect any ruling from the Commission to be imposed on financial institutions. The only service competing with the financial institutions at present is one from the Central Bank.
Ms Foley said that "regrettably" she had no powers to order the Central Bank to extend its free foreign exchange service.
At present the Central Bank will buy euro zone currencies from the public, but will not sell them. The Central Bank's offices in Dame Street is the only location where the free service is available. Central banks in other euro zone states have opened several outlets to offer the free service.
