I have downloaded a free tree palm model that came with textures and a preview image. In the preview image the tree looks fine, but when I have deployed the textures to my scene, the leaves look green plus white, where white is the transparency area.

Is there something I need to know about transparent textures? Both in the view-port and in the renderer all transparency appears as white.

What could it be?

Edit:

The model I was talking about is implemented with two JPGs. One is textured and the other one is black-white where white represents transparency and is applied to the material in the opacity channel/map.

The transparency seems to work somewhat, but there are white borders around the leaves. I think it's because the opacity channel does not properly filter out all white colors for some reason. It also seems that changing the blur affects it, but setting it to 0 does not remove it though (and makes it jaggy).