How much are the foreign currency withdrawal fees? Understand the actual costs of 4 different JPY exchange methods at once

The NT$ to JPY exchange rate has reached 4.85, and many people are preparing to travel abroad or invest in Japanese yen. But did you know? Just choosing the wrong currency exchange method can result in handling fees that might cost you over NT$1,000 more.

Why Choose Your Currency Exchange Channel Carefully?

Many think exchanging yen is just going to the bank to withdraw, but in reality:

Cost differences are beyond imagination: Exchanging NT$50,000 at the counter for cash may lose NT$1,500-2,000, but using online remittance + airport pickup only costs a loss of NT$300-800, nearly half the price.

Exchange rate differences are significant: Cash selling rates are usually 1-2% worse than the spot rate. Exchanging NT$50,000, the yen you receive less plus handling fees, can add up to a surprising cost.

Hidden costs of handling foreign currency: Fees, interbank charges, cash handling fees layer up, resulting in far fewer yen received than expected.

Complete Comparison of 4 Ways to Exchange Yen in Taiwan

Method 1: Bank counter cash withdrawal (most traditional, highest cost)

Carry NT$ cash to the bank or airport counter to exchange. Simple operation, but using the “cash selling rate,” which is 1-2% worse than the international market.

Taiwan Bank reference rate as of December 10, 2025: Cash selling rate about 0.2060 NT$/JPY (i.e., NT$1 = 4.85 JPY)

Comparison of cash selling rates and fees across banks:

Advantages: Safe, full denominations, teller assistance
Disadvantages: Limited to business hours (Weekdays 9:00-15:30), exchange rate gap, accumulated fees
Suitable for: Urgent small amounts, unfamiliar with online operations

Estimated loss for NT$50,000: NT$1,500-2,000

Method 2: Online remittance + foreign currency ATM withdrawal (most flexible)

Use bank app to convert NT$ to yen at spot rate into a foreign currency account, then use chip card at foreign currency ATMs to withdraw cash. 24-hour operation, can be done in batches.

Example: Fubon Bank foreign currency ATM: Withdraw yen from NT$ account, daily limit NT$150,000, no remittance fee, interbank fee NT$5.

Advantages: Instant, flexible, better rate than counter, anytime withdrawal, low interbank fee
Disadvantages: Limited ATM locations (~200 nationwide), fixed denominations (1,000/5,000/10,000 JPY), cash may run out during peak hours
Suitable for: People who don’t have time to visit banks, need to withdraw foreign currency temporarily

Estimated loss for NT$50,000: NT$800-1,200

Method 3: Online remittance + counter/airport pickup (best before traveling abroad)

No need for a foreign currency account, fill in currency, amount, pickup branch, and date on the bank’s official website. After remittance, bring ID and transaction notice to pick up at the counter, or book airport branch pickup.

Taiwan Bank “Easy Purchase” online remittance: No fee (pay NT$10 via TaiwanPay), rate advantage about 0.5%. Taoyuan Airport has 14 Taiwan Bank counters, 2 of which operate 24 hours.

Advantages: Often fee-free, better rates, can specify airport pickup, no need to open a foreign currency account in advance
Disadvantages: Need to book 1-3 days ahead, pickup time limited by bank hours, branch info cannot be changed
Suitable for: Planned travelers who want to pick up foreign currency directly at the airport

Estimated loss for NT$50,000: NT$300-800

Method 4: Online remittance + foreign currency account (investment-oriented)

Use bank app to convert at spot rate, deposit yen into a foreign currency account. No cash withdrawal needed, enjoy deposit interest rates (about 1.5-1.8%) or invest in yen ETFs.

Example: E.SUN Bank: Easy foreign currency account opening, minimum NT$10,000 deposit, can directly invest in yen deposits.

Advantages: 24-hour operation, best rates, can average costs over batches, earn interest with deposits, no cash risk
Disadvantages: Need to open a foreign currency account, withdrawal incurs additional fees (interbank NT$5-100)
Suitable for: Experienced forex investors, long-term holders or investors in yen

Estimated loss for NT$50,000: NT$500-1,000

Summary of 4 Currency Exchange Methods

Is it a good time to exchange yen now?

Exchange rate background: As of December 10, 2025, NT$ to JPY is 4.85. Compared to 4.46 at the start of the year, it has appreciated about 8.7%, which is quite significant.

Central bank movement: Bank of Japan Governor Ueda Kazuo recently made hawkish comments, pushing up rate hike expectations to 80%, with a 0.25 basis point increase to 0.75% on December 19 (a 30-year high). Japanese bond yields hit a 17-year high of 1.93%.

Short-term trend: USD/JPY has fallen from a high of 160 at the start of the year to around 154.58, with short-term fluctuations possibly returning to 155, but medium to long-term forecasts are below 150.

Investment advice: The yen, as one of the three major safe-haven currencies, is suitable for hedging against Taiwan stock market volatility. But in the short term, arbitrage closing risks exist, with possible fluctuations of 2-5%. It’s recommended to exchange in batches and avoid all at once.

How to use after receiving foreign currency?

After exchanging yen, letting the money sit idle earns no interest. You can consider:

Yen deposit: The most stable, open foreign currency accounts at E.SUN/Taiwan Bank, minimum NT$10,000, annual interest 1.5-1.8%

Yen insurance policies: Medium-term holding, Cathay/Fubon life savings insurance, guaranteed interest rate 2-3%

Yen ETFs: Growth-oriented, e.g., Yuanta 00675U tracking yen index, can buy fractional shares for dollar-cost averaging

Forex trading: Swing trading USD/JPY or EUR/JPY on forex platforms, with long and short positions, 24-hour trading

Common Q&A

Q: How much is the difference between cash rate and spot rate?
Cash rate is the rate banks offer for physical cash, usually 1-2% worse than the spot rate (FX T+2 settlement rate). For NT$50,000, the difference is about NT$200-400, or roughly 200-400 JPY.

Q: How much yen can NT$10,000 buy?
Using Taiwan Bank’s rate on December 10, 2025, NT$4.85, NT$10,000 ≈ 48,500 JPY. Using the spot rate (~4.87), about 48,700 JPY.

Q: What ID do I need to withdraw foreign currency?
Taiwanese need to bring ID card + passport. If booking online, also bring transaction notice. Under 20 need parental accompaniment; large exchanges (over NT$100,000) may require source of funds declaration.

Q: What is the daily limit for ATM withdrawal of foreign currency?
Varies by bank; after 2025, many limit to NT$100,000-150,000 per day. Use your own bank card to avoid interbank fee (NT$5 per transaction). Plan ahead during peak hours to avoid cash shortages.

Conclusion

The yen is no longer just pocket money for travel but also an asset with hedging and investment value. Whether traveling or hedging, following the principles of “batch exchange + withdrawal + transfer into deposits or ETFs” can minimize costs and maximize returns. Beginners are advised to start with “Taiwan Bank online remittance + airport pickup” or “foreign currency ATM,” then allocate into deposits, ETFs, or swing trading based on needs. This way, you not only enjoy cost-effective travel but also add a layer of protection amid global market fluctuations.