Japanese Yen Exchange Guide: Understand the Best TWD Conversion Options in 1 Minute

The NT$ to JPY exchange rate surged to 4.85, up 8.7% annually. People looking to exchange for yen are all asking the same question: Is now a good time to exchange? Which method saves the most money?

Honestly, the cost difference when exchanging for yen is greater than you think. The same NT$50,000, through different channels, could cost you an extra NT$1,500—equivalent to multiple times the price of a cup of bubble tea. We break down the four commonly used currency exchange methods in Taiwan to help you choose.

Why do you need to exchange for yen? It’s not just for travel

Many think exchanging for yen is only for going abroad, but in reality, the uses of yen are much broader.

Daily expenses: Cash is king in Japan (credit card penetration is only 60%), for shopping agents, online shopping, studying abroad, working holidays—all require yen.

Investment: The yen is one of the three major safe-haven currencies globally (alongside USD and Swiss Franc). During the Russia-Ukraine conflict in 2022, the yen appreciated 8% in a week, buffering stock market declines. For Taiwanese investors, holding yen is like an insurance hedge against Taiwan stocks. Plus, the Bank of Japan is about to raise interest rates (expected to rise to 0.75% on December 19, a 30-year high), so long-term yen appreciation potential exists.

This is also why in the second half of the year, Taiwan’s currency exchange demand increased by 25%—both travel recovery and hedging needs.

Four currency exchange methods, with surprisingly large cost differences

To be honest, many people are still using the least efficient way to exchange yen. Here’s a comparison based on actual rates as of December 10, 2025:

Method 1: Bank counter cash exchange (most conservative, most costly)

Bring NT$ to a bank or airport counter to exchange for yen cash, using the “cash selling rate” (1-2% worse than the spot rate).

For example, Taiwan Bank’s cash selling rate is about NT$0.2060 per yen (equivalent to NT$1 = 4.85 yen). Many banks also charge handling fees.

Advantages: Full denominations, immediate cash, safe and reliable.
Disadvantages: Worst exchange rate, limited operating hours, possible stacking of fees.
Suitable for: Urgent needs (e.g., at the airport), elderly unfamiliar with online banking.

Method 2: Online currency exchange + in-person withdrawal (a middle ground)

Use bank app to convert NT$ into yen and deposit into a foreign currency account (using “spot selling rate,” about 1% better than cash rate). Then, withdraw cash at counters or foreign currency ATMs, paying handling fees.

Advantages: Can buy in installments, 24-hour operation, better exchange rates, suitable for regular investments.
Disadvantages: Need to open a foreign currency account first, withdrawal fees (~NT$100-200).
Suitable for: Investors familiar with foreign currencies, aiming to buy at lower rates, planning to hold yen deposits or ETFs.

Method 3: Online currency settlement + airport pickup (must-have for travelers)

No need for a foreign currency account. Book online via bank website, specify pickup branch (including airports), use spot rate, no handling fee. Taiwan Bank’s “Easy Purchase” starts at NT$10, with about 0.5% better rates.

Taoyuan Airport has 14 Taiwan Bank branches (including 2 24-hour branches), making it the most convenient choice before departure. Mega Bank offers similar services.

Advantages: Often no handling fees, better rates, no need to open an account beforehand, direct airport pickup.
Disadvantages: Need to book 1-3 days in advance, branch changes require prior notice, limited by operating hours.
Suitable for: Travelers with a fixed schedule, confirmed departure date, wanting to pick up at the airport.

Method 4: Foreign currency ATM withdrawal (most flexible but limited)

Use a bank card to withdraw yen cash from foreign currency ATMs, available 24/7, with only NT$5 cross-bank fee, directly deducted from NT$ account.

Suning Bank’s foreign currency ATM limit is NT$150,000 per day (~NT$15 million), no currency exchange fee; Taishin Bank also NT$150,000; E.SUN Bank NT$50,000 (limited to 50 notes). Regulations may change in 2025, so check first.

Advantages: Instant withdrawal, flexible, very low cross-bank fees.
Disadvantages: Only about 200 ATMs nationwide, denominations fixed (1,000/5,000/10,000 yen), cash may run out during peak times.
Suitable for: Urgent needs, no time to visit bank, willing to make an extra trip.

Cost comparison table: Actual loss when exchanging NT$50,000

Conclusion: Using counter cash vs. online settlement for NT$50,000 saves over NT$1,000, and the difference grows larger with bigger amounts.

Is it a good time to exchange yen now? The answer is “conditional favorability”

Current market: NT$ to JPY at 4.85, up 8.7% annually (from 4.46 at the start of the year). The foreign currency appreciates, so there is room for gains.

Short-term risks: Yen fluctuates bidirectionally. The Bank of Japan’s rate hike (expected to reach 0.75%) is positive for the yen, but global arbitrage unwinding and geopolitical conflicts may weigh on it. USD/JPY dropped from 160 to 154.58; short-term volatility may bring it back to 155, with a medium-long-term forecast below 150.

Batching beats lump-sum exchange. Recommendations:

• Exchange in 3-5 installments rather than all at once.
• Prioritize online settlement + airport pickup (lowest cost).
• After exchanging, don’t just sit idle—move funds into yen deposits (annual interest 1.5-1.8%) or yen ETFs (like 00675U).

After exchanging yen, where should the money go?

Don’t let yen cash sit idle without interest. Here are four advanced options:

1. Yen fixed deposit (conservative): E.SUN, Taiwan Bank foreign currency accounts, 1.5-1.8% annual interest, starting from 10,000 yen.

2. Yen insurance policy (mid-term): Cathay, Fubon life savings insurance, guaranteed interest rate 2-3%.

3. Yen ETFs (growth): Yuanta 00675U tracks yen index, can be dollar-cost averaged, annual management fee 0.4%.

4. Yen swing trading (advanced): Trade USD/JPY or EUR/JPY directly, zero commission, low spread platforms, 24-hour trading, long/short operations.

Quick answers to common currency exchange questions

Q: What’s the difference between cash rate and spot rate?
Cash rate applies to physical banknotes, with higher costs and 1-2% spread. Spot rate is T+2 electronic settlement price, closer to international market, more favorable but requires waiting for settlement.

Q: How much yen do I get for NT$10,000?
Using Taiwan Bank’s cash sell rate at 4.85, about 48,500 yen; at spot 4.87, about 48,700 yen—difference of 200 yen (~NT$40).

Q: What do I need to bring for counter exchange?
ID card + passport (for foreigners, passport + residence permit). Large amounts (over NT$100,000) may require source of funds declaration. Pre-booked online exchange requires transaction notice.

Q: What’s the daily limit for foreign currency ATM withdrawal?
In 2025, new rules: CTBC Bank cards NT$120,000/day; other banks vary; Taishin Bank NT$150,000/day; E.SUN Bank NT$50,000/day. It’s recommended to split withdrawals or use your own bank card to save on cross-bank fees.

Summary: The golden rule for exchanging yen

Yen has evolved from “travel pocket money” to a “wealth allocation tool.” To minimize costs and maximize returns, remember two key points:

First: Use “online settlement + airport pickup” or “online exchange + foreign currency ATM,” saving 50-70% compared to counter cash.

Second: Exchange in stages, then immediately move funds into fixed deposits, ETFs, or swing trading—don’t let your money sleep.

This way, you can travel cost-effectively, and during global market turbulence, add an extra layer of hedging. As for the NT$ to HK$ exchange rate trend, although not the focus here, a similar “staged + preferred channels” strategy is also recommended.