Percy...from reading your replies I'm still confused. We agree the additional 2% near criminal banks like Bank of America, Citibank,JP Morgan Chase add to the 1% ftf is a total rip off and a fee simply because they feel they can get away with it and Coangress doesn't want to tell them to knock it off. Fine.

But where does the 1% come from in the example we're discussing. Does their acquirer charge BA 1% which BA passes along to the customer? Or does the cc network charge 1% because they feel their perogative to charge 1% on currency conversion is being violated? Especially if no currency conversion takes place. Whose 1% is being passed along before the 2% is added on? Is it the acquirer? Is it the credit card network? Is it the merchant? I was always under the illusion it is the credit card network which adds the 1% and then gives the customer's bank the option of adding the additional 2%. So for those relatively good banks (relatively good as some banks absorb the whole thing) that only charge the 1% ftf and claim they are simply passing on the fee from well from whom. That's the part I still don't understand.