Smart Ways to Exchange Yen to TWD | Cost Comparison of 4 Major Methods, Understand How to Exchange Wisely After Reading

In mid-December 2025, the NT dollar against the Japanese yen hit the 4.85 mark. How attractive is this exchange rate level? Just look at the full-year data, and you’ll understand—at the beginning of the year, it was only 4.46. In just one year, the yen appreciated by over 8%. For you holding NT dollars, the window to exchange for yen is just opening.

Whether you’re preparing for next year’s Japan trip budget or want to take advantage of NT dollar depreciation pressure to deploy assets on dips, the key comes down to one choice: how to convert NT dollars to yen without paying extra for a few more cups of bubble tea.

First, see the table｜Quick comparison of 4 ways to exchange yen to NT dollars

Don’t rush into the bank just yet—check out this comparison table first. Suppose you have NT$50,000 to exchange for yen:

From the table, it’s clear: if you want to spend the least, do an online currency exchange first; if you urgently need cash right now, foreign currency ATMs are a lifesaver; if you plan to hold long-term while investing and operating, opening a foreign currency account for online exchange offers the most flexibility.

The 4 methods, explained once and for all

1. In-branch cash exchange｜Most secure but most expensive

Bring cash NT dollars into the bank or head straight to the airport counter, and exchange for yen with a teller. The process is transparent and safe, with denominations available (1,000, 5,000, 10,000 yen), and on-site service.

But this convenience comes at a cost. Banks use the “cash selling rate,” which is 1-2% worse than the market spot rate. For example, Taiwan Bank’s rate on December 10, 2025, was 0.2060 NT$/yen (roughly 4.85 yen/NT$), while the spot rate was 0.2062 (about 4.87 yen/NT$). Just this difference could cost you 200-300 yen. Plus, some banks charge an additional NT$100-200 handling fee. For NT$50,000 exchanged, total loss is NT$1,500-2,000.

When to use? If you suddenly realize at the airport you forgot to exchange, need a small emergency amount, or just don’t want to touch your phone.

2. Online exchange + in-branch pickup｜Investor’s choice

This appeals to those experienced with foreign currency accounts. You operate via the bank app, converting NT dollars into yen and depositing into a foreign currency account. The system automatically applies the “spot sell rate” (about 1% better than cash rate). If you need cash, you can pick it up in-branch or withdraw via foreign currency ATM, which incurs an additional withdrawal fee (usually NT$100-300).

The advantage here is flexibility. You can monitor the exchange rate trend, buy in batches at low points to average your cost, for example, waiting until the NT dollar appreciates and yen drops below 4.80 before acting. After exchange, if you don’t need cash soon, the yen stays in your account, even earning 1.5-1.8% annual interest if transferred into a fixed deposit.

Banks like E.SUN, Mega International support this service, but you need to open a foreign currency account first, sometimes with a minimum deposit requirement.

When to use? If you have time to watch the rates, plan to hold yen long-term, or want to invest in yen fixed deposits.

3. Online remittance + airport pickup｜Best pre-trip plan

Scenario: You’re leaving tomorrow, and today you just remembered to exchange yen. No worries—just fill out a form on the bank’s website (currency, amount, designated pickup branch), complete the online transfer, and the next day, bring your ID and transaction notice to pick up cash at the airport. Taiwan Bank’s “Easy Purchase” online remittance is even more convenient—pay with Taiwan Pay for only NT$10 fee (almost free), and get a 0.5% better rate.

This option is popular because Taoyuan Airport has 14 Taiwan Bank branches, including 2 open 24 hours. You can choose to pick up at the busiest time on departure day, saving extra trips to the bank.

The cost? You need to make a reservation at least 1-3 days in advance, and the pickup time is limited to bank hours (unless you choose a 24-hour branch). Once booked, you cannot change the branch, so confirm your travel schedule beforehand.

When to use? For well-planned travelers, those who want to withdraw cash directly at the airport, or avoid losing too much to handling fees.

4. Foreign currency ATM｜24-hour savior

Use a chip-enabled bank card to withdraw yen directly from foreign currency ATMs. This is the fastest, least time-restricted method. Deduct NT$5 cross-bank fee from your NT account, with no additional exchange fee (unlike the 1-2% spread at in-branch).

But there are obvious issues: Taiwan has about 200 foreign currency ATMs, unevenly distributed; denominations are fixed at 1,000, 5,000, 10,000 yen; during peak times (especially at airports or popular shopping districts), cash may run out. You might find “no yen available, please come back later.”

Mega Bank’s foreign currency ATM limit is NT$150,000 equivalent yen per day; CTBC and E.SUN have their own rules (see below). If you want to withdraw more than this, you’ll need to do it over multiple days.

When to use? If you have no time to visit a bank, need yen urgently, or live near an ATM location.

Bank-by-bank comparison of cash exchange rates and fees

Don’t just look at the numbers—on December 10, 2025, the difference in cash selling rates among banks was up to NT$0.0011 per yen. For a NT$50,000 transaction, this difference could mean a NT$1,000–1,300 loss.

(Source: Official bank websites and public rates, updated 2025/12/10)

If you compare just the rates, Mega Bank offers the best (0.2058), but they charge NT$100 handling fee; Taiwan Bank’s rate at 0.2060 with no fee might be cheaper overall. Don’t just look at the rate—include the handling fee in your calculation.

Is it worth exchanging yen now? Timing analysis

Honestly, worth considering. But don’t exchange all at once.

This year, the yen’s appreciation trend is clear. Starting at 4.46, now at 4.85, a total appreciation of 8.7%. If you exchanged yen last year, you’d already be in profit. But what about the future?

The key is the Bank of Japan’s stance. Governor Ueda recently signaled a hawkish shift, with market expectations of a 0.25 bps rate hike at the December 19 meeting to 0.75% (a 30-year high). An interest rate hike by BOJ is bullish for the yen—higher rates increase the cost of yen financing, leading to unwinding of arbitrage trades and increased demand for yen.

However, global interest rate environments are changing. The US is entering a rate-cut cycle, which weakens the dollar’s relative attractiveness, indirectly supporting the yen. But risks include large-scale unwinding of arbitrage positions, causing the yen to fluctuate 2-5%. In the short term, USD/JPY could rebound from the current 154.58 to 155 or higher. Long-term, analysts generally expect it to stay below 150.

Advice? Dollar-cost average in. Don’t wait for the “absolute bottom”—that’s too hard. Instead, split NT$50,000 into 2-3 parts, exchanging each every 2-3 weeks. This way, you can enjoy appreciation gains and avoid short-term volatility traps.

What to do after getting yen? Don’t let it sleep

After exchanging yen, if you’re not immediately heading to Japan, don’t leave it idle. Here are 4 options:

Fixed deposit｜Most stable choice
Open a foreign currency account with E.SUN or Taiwan Bank, transfer yen online, and earn 1.5-1.8% annual interest. Minimum starting from 10,000 yen, risk-free, suitable for risk-averse investors.

Savings insurance｜Mid-term appreciation
Cathay and Fubon offer yen savings insurance with guaranteed 2-3% interest, locking in for 3-6 years. Suitable if you’re sure you won’t need the money within 5 years.

Yen ETFs｜Small-scale growth
Yuan Da 00675U tracks the yen index, and you can buy fractional shares via stock apps, starting at a few hundred NT dollars. Suitable for dollar-cost averaging (buying regularly each month). Management fee is 0.4%, less risky than forex trading.

Forex trading｜Advanced wave trading
Trade USD/JPY or EUR/JPY directly on forex platforms, going long or short. 24-hour trading, small capital needed. Riskier for beginners, but if you understand technical charts, a 3-5% monthly gain is achievable.

Common questions about currency exchange

Q. What’s the difference between cash rate and spot rate?

Cash rate is the bank’s quote for physical bills/coins, used for on-the-spot transactions. The advantage is immediate receipt; the downside is the bank’s profit margin, usually 1-2% worse than the spot rate.

Spot rate is used for interbank or corporate transactions, settled in 2 business days (T+2). Since there’s no physical cash circulation risk, banks offer better prices.

In simple terms, cash rate is retail, spot rate is wholesale.

Q. How much yen can I get with NT$10,000?

Formula: Yen amount = NT$ amount × current rate

Using Taiwan Bank’s cash rate of 4.85 on 2025/12/10: NT$10,000 × 4.85 = 48,500 yen. Using the spot rate of 4.87, it’s 48,700 yen—200 yen difference (about NT$40).

Q. What ID do I need for in-branch currency exchange?

ID card + passport (for locals); foreigners need passport + residence permit; companies need business registration documents. If you pre-book online, bring transaction notice. Minors under 20 need a parent present. For amounts over NT$100,000, banks may require a source of funds declaration.

Q. What’s the daily withdrawal limit at foreign currency ATMs?

Different banks have different limits (from October 2025). CTBC etc. allow NT$120,000 equivalent per day; Taishin Bank NT$150,000; E.SUN NT$150,000 (including debit). Many digital accounts are capped at NT$100,000/day. To withdraw more, split over multiple days or use your bank’s card.

Conclusion｜It’s that simple

Yen is no longer just “travel pocket money”—it’s an asset with hedging value. Under NT dollar depreciation pressure and with the BOJ’s rate hikes on the horizon, holding some yen not only reduces travel costs but also adds a hedge to your investment portfolio.

The core logic is twofold: batch exchange + don’t leave it lying idle after exchange. Beginners can start with “Taiwan Bank online exchange + airport pickup” or “foreign currency ATM,” then gradually move to online fixed deposits or yen ETFs. This way, your travel becomes more cost-effective, and you gain an extra layer of protection during market turbulence.

Your wallet will thank your wise choices.