Where I live in Maine, US, a an avian vet exam and consultation costs me $90 and an xray costs about $100. A band removal procedure would probably be at least $150 including the anesthesia, so the prices you were quoted were not really "out of line" for the "western world", but I realize that doesn't help if you can't afford it. Perhaps you could save up over a period of time and do it in the future.
Keeping them separated because of the band doesn't seem like an ideal solution. However, if they tend to fight, keeping them separated when not supervised may be the best thing you can do because they may still find a reason to fight after removing the band.