Japanese Yen Exchange Guide: 4 Tips to Save the Most, Also Usable at Foreign Currency ATMs

In mid-December 2025, the NT dollar has broken through the 4.85 mark against the Japanese Yen. Planning to travel abroad or hedge your investments? Don’t rush to the bank—this article teaches you the right methods to save a big chunk.

Is it really cost-effective to exchange for Yen now? Timing is crucial

At the beginning of the year, the NT dollar exchanged for only 4.46 Yen, now it has risen to 4.85, appreciating nearly 8.7%. Whether it’s worth it or not depends on two perspectives.

Travelers exchanging currency: Just book 1-3 days before departure, use online bank remittance to the airport for cash pickup. The exchange rate is usually 0.5-1% better than at counters, saving enough for several cups of bubble tea.

Investors exchanging currency: Yen is one of the three major global safe-haven currencies (alongside USD and Swiss Franc), supported long-term by Japan’s economic stability. But short-term fluctuations require attention—The Bank of Japan is about to raise interest rates to 0.75%, a 30-year high, with market expectations that Governor Ueda Kazuo will act on December 19. This will influence how USD/JPY moves from the current 154.58. Experts predict a short-term return to around 155, but medium to long-term could fall below 150.

Conclusion: It’s advantageous to exchange now, but don’t convert everything at once—dividing into batches to spread costs is the smartest approach.

Comparing 4 currency exchange channels, costs vary greatly

Many think the only way is “go to the bank counter to exchange,” but in reality, the exchange rate difference alone can be 1-2%, plus handling fees, costing an extra NT$1,500-2,000. Let’s use NT$50,000 as an example to see the real costs of each method.

Option 1: Bank counter cash exchange (most traditional, highest cost)

Bring cash NT$ and walk into the bank to get Yen notes immediately. Convenient, but the “cash selling rate” is 1-2% worse than the market rate—that’s the bank’s profit, paid by you.

For example, Taiwan Bank’s cash selling rate on December 10, 2025, is 0.2060 NT$/Yen (equivalent to 4.85 Yen/NT$). Plus, some banks charge an additional NT$100-200 handling fee. NT$50,000 will get you about 48,000+ Yen, losing NT$1,500-2,000.

Who’s it suitable for: Urgent airport cash needs, unfamiliar with online operations, elderly who only need small cash amounts.

Option 2: Foreign currency ATM withdrawal (most flexible 24/7)

This is the hottest method in recent years. Use a chip-enabled bank card at a foreign currency ATM to withdraw Yen cash anytime, no matter the business hours. Fubon Bank’s foreign currency ATMs allow withdrawals from NT$ accounts with a daily limit of NT$150,000 equivalent, cross-bank fee NT$5, and no currency exchange fee.

However, a practical issue: there are only about 200 foreign currency ATMs nationwide. During peak times (especially airports), cash often runs out. Using NT$50,000 at an ATM costs about NT$800-1,200 in exchange rate costs—better than counter exchange but not the best.

Who’s it suitable for: People who don’t want to queue, need cash urgently, or have nearby foreign currency ATMs.

Option 3: Online remittance to a foreign currency account, withdraw when needed (most cost-effective)

This is our top recommendation for those with a budget of NT$50,000-200,000. First, use the bank app’s “online remittance” feature to convert NT$ to Yen at the “spot selling rate” (about 1% better than cash rate) and deposit into a foreign currency account. Taiwan Bank’s “Easy Purchase” even waives handling fees, paying via Taiwan Pay costs only NT$10.

If cash is truly needed, withdraw at counters or ATMs later, paying only the exchange rate difference fee (usually NT$100+). The total cost for NT$50,000 is only NT$300-800, saving the most.

Smarter investors will buy in batches when the exchange rate is low (NT$ to Yen below 4.80), averaging costs, and even place Yen fixed deposits earning 1.5-1.8% annual interest.

Who’s it suitable for: Experienced forex users, those who plan ahead, and investors wanting to stagger their entries.

Option 4: Book online remittance and pick up at the airport (must-do before travel)

Don’t want to open a foreign currency account? No problem. Fill in the remittance amount, branch, and date on the bank’s website, then bring ID and transaction notice to pick up in person. Taiwan Bank and Mega Bank offer this service. Taoyuan Airport has 14 Taiwan Bank counters (2 open 24 hours), so no worries about missing your flight.

This method offers about 0.5% exchange rate advantage, often with no handling fee, making it “fast and cheap.” The only downside is the need to book 1-3 days in advance, unlike the instant use of ATMs.

Who’s it suitable for: Travelers with strong planning, ample time, and good mobility.

Cost summary (based on NT$50,000)

Quick tips for fast Yen withdrawal at ATMs

Foreign currency ATMs are now a secret weapon for many workers. Using your bank card, NT$5 cross-bank fee applies, and they operate 24 hours.

Note that each bank’s daily limit varies:

• CTBC Bank: NT$120,000 equivalent per day
• Taishin Bank: NT$150,000 equivalent per day
• E.SUN Bank: NT$150,000 equivalent per day (including debit)

If you hit the limit, split withdrawals over several days or use your own bank card to avoid cross-bank fees. During peak times, cash may run out quickly—plan ahead, don’t wait until the last minute.

When is the right time to exchange Yen? The central bank’s rate hike is a turning point

In the last month of 2025, the Bank of Japan’s rate decision will be critical. Ueda Kazuo has signaled a hawkish stance, with market expectations of a 0.25 basis point hike to 0.75% on December 19 (a 30-year high). Japanese bond yields have soared to 1.93%.

What does this mean? The “interest incentive” for Yen strengthens, and short-term arbitrage may unwind, causing USD/JPY to fluctuate by 2-5%. But in the long run, Yen’s appeal as a safe-haven asset will only grow.

Exchange timing suggestions:

• Travel: Book online remittance now, pick up at the airport—don’t wait.
• Investing: Stagger entries weekly or monthly, avoid betting on a single point in time.
• Hedging: Yen can make up 5-10% of your assets as a hedge against Taiwan stock market volatility.

After exchanging Yen, how to earn more with your money

Once you have Yen, instead of letting it sit idle earning zero interest, consider investing for better returns.

1. Yen fixed deposit (conservative)
Easiest option. E.SUN, Taiwan Bank, Mega Bank all offer foreign currency accounts with a minimum of 10,000 Yen and annual interest rates of 1.5-1.8%. NT$50,000 principal earns about NT$400-500 in interest per year.

2. Yen insurance policies (medium-term hold)
Cathay, Fubon life offer savings insurance in Yen, with guaranteed interest rates of 2-3%. Slightly better than fixed deposits but require 3-5 year commitments.

3. Yen ETFs (growth-oriented)
Yuanta 00675U tracks Yen indices, can be bought as fractional shares via securities apps, suitable for dollar-cost averaging. Management fee is 0.4% annually, cheaper. You can also trade USD/JPY or EUR/JPY directly for bigger swings, but with higher risk.

4. Forex swing trading (high risk, high reward)
Trade USD/JPY directly on platforms like Mitrade, with zero commission, low spreads, and 24-hour trading. Use stop-loss, take-profit, and trailing stop tools—suitable for experienced traders.

While Yen is a safe-haven, it also fluctuates bidirectionally. Short-term arbitrage risks exist, and long-term depends on BOJ policies and geopolitical factors (Taiwan Strait, Middle East). For stability, choose deposits; for profit from swings, operate in forex—based on your risk appetite.

Quick FAQ

Q: What’s the difference between cash rate and spot rate?
Cash rate is the bank’s buy/sell price for physical bills, paid on the spot, usually 1-2% worse than the market rate. Spot rate is the foreign exchange market’s price for settlement within 2 business days (T+2), used for electronic transfers and account conversions, closer to international market prices. Simply put, cash rate is the bank’s markup; spot rate is closer to real market value.

Q: How much Yen can I get with NT$10,000?
As of December 10, 2025, Taiwan Bank’s spot sell rate is about 4.87 NT$/Yen, so NT$10,000 converts to about 48,700 Yen. Using cash rate 4.85, it’s 48,500 Yen—difference of 200 Yen (~NT$40).

Q: What do I need to bring to exchange at the counter?
Taiwanese: ID card + passport. Foreigners: passport + residence permit. Under 20? Need parental consent. For amounts over NT$100,000, may need to declare source of funds. Online booking also requires transaction notice.

Q: What’s the daily withdrawal limit at foreign currency ATMs?
Latest 2025 rules:

• Fubon Bank: NT$150,000 equivalent/day, NT$2,000 per transaction for other banks
• E.SUN Bank: NT$150,000/day
• CTBC Bank: NT$120,000/day
  Use your own bank card to save NT$5 cross-bank fee. During peak times, plan ahead to avoid last-minute shortages.

Final summary

Yen has evolved from “pocket money for travel” to an asset with hedging and investment value. Whether you’re traveling to Japan next year or want to hedge against NT dollar depreciation by moving funds into Yen, mastering “staged exchange and not leaving money idle” can minimize costs and maximize returns.

Beginners should start with the simplest method: “Taiwan Bank online remittance + airport pickup” or “Yen ATM withdrawal,” then move into fixed deposits, ETFs, or forex swing trading based on needs. This way, you’ll enjoy more cost-effective trips and add a layer of protection amid global market fluctuations.