Is dealing with banks, through ATM cards, that impose fees for cash withdrawals and currency exchange by various parties, religiously dubious?

Fees deducted for ATM withdrawals are permissible if they are actual fees for the transaction. Using an ATM card to withdraw from another bank in a different currency is considered a loan from the bank owning the ATM, guaranteed by your account with your bank, or by your bank itself. There is no harm in the actual fees charged for these services.