Complete Guide to Japanese Yen Exchange: The Most Cost-Effective Way to Exchange TWD for JPY in 2025

This year’s NT$ to JPY exchange rate has already broken through 4.85, and many people are starting to plan trips to Japan or make small JPY investments. But do you know? The same 50,000 NT$ converted to JPY through different channels can differ by over ###1,500 yuan. We will compare four exchange methods directly to help you find the most cost-effective way.

First, understand: What’s the difference between cash exchange rate and spot exchange rate?

Many people confuse these two concepts, resulting in paying more than necessary. Cash exchange rate is the bank’s quote for physical banknotes, usually 1-2% worse than the international market; spot exchange rate is the market price for electronic transfers, which is much more favorable. Be sure to distinguish before exchanging JPY—choosing the wrong rate is equivalent to choosing the wrong channel.

Practical comparison of 4 JPY exchange methods

1. Counter cash exchange: most convenient but highest cost

Bring NT$ directly to a bank or airport counter to exchange for JPY cash, which is the most traditional and straightforward method. The advantage is getting cash on the spot; the disadvantage is higher exchange rate cost by 1-2%, and possible handling fees.

For example, Taiwan Bank’s rate as of December 10, 2025, shows a cash selling rate of about 0.2060 NT$/JPY (equivalent to 4.85 exchange rate). Exchanging 50,000 NT$ results in a loss of about ###1,500-2,000 yuan.

List of cash exchange rates and handling fees for various banks

Suitable for: Urgent, small amounts, emergency situations, or unfamiliar with online operations.

2. Online exchange + counter withdrawal: saves a lot with patience

Use bank app to convert NT$ to JPY online (spot rate is more favorable), then choose to withdraw cash at a counter or foreign currency ATM. This method allows you to enjoy better rates, but withdrawal of cash incurs additional exchange fee (usually starting at 100 NT$).

For example, E.SUN Bank app shows that after currency exchange, the fee for cash withdrawal is approximately the difference between spot and cash rates. Converting 50,000 NT$ costs about ###500-1,000 yuan, much cheaper than counter exchange.

Advantages: Can stagger entries to average costs, 24-hour operation, relatively favorable rates.

Disadvantages: Need to open a foreign currency account first, and withdrawal requires a bank trip.

Suitable for: Those patient enough to monitor rates, frequently use foreign currency accounts, or want to combine with JPY fixed deposits (annual interest rate 1.5-1.8%).

3. Online currency settlement for direct pickup: a lazy solution before traveling

No need to open an account—simply fill in the amount and pickup location (airport optional) on the bank’s website. After completion, bring ID to the counter to collect cash. Taiwan Bank’s “Easy Purchase” online currency settlement is fee-free (pay only 10 NT$ via TaiwanPay), with about 0.5% better rates.

The biggest advantage is the ability to reserve pickup at 14 Taiwan Bank locations at Taoyuan Airport, including 2 open 24 hours. Pick up directly at the airport before departure, saving time and hassle. Estimated loss for 50,000 NT$ is about 300-800 yuan.

Key points: Need to book 1-3 days in advance; pickup time limited by branch hours; cannot change reservation.

Suitable for: Well-planned travelers with fixed departure dates who want to pick up cash at the airport.

4. Foreign currency ATM cardless withdrawal: the most flexible temporary solution

Use a chip-enabled financial card to withdraw JPY cash 24/7 directly from foreign currency ATMs, with only a 5 NT$ interbank fee deducted from your NT$ account. For example, Sinopac Bank’s card allows daily withdrawal limits of 150,000 NT$ equivalent, with no additional exchange fee.

Disadvantage: Less than 200 foreign currency ATM locations nationwide, fixed denominations (1,000, 5,000, 10,000 JPY), and during peak times (like airports), cash may run out. Cost for 50,000 NT$ is about 800-1,200 yuan.

Suitable for: No time for counter exchange, need for immediate withdrawal, or unplanned situations.

Cost comparison table of 4 methods

Is it worthwhile to exchange JPY now?

Short answer: Yes, but in installments.

In 2025, NT$ to JPY has appreciated to 4.85 from the beginning of the year at 4.46, an increase of about 8.7%. Under NT$ depreciation pressure, converting to JPY yields exchange gains. Recent data shows that in the second half of 2025, Taiwan’s currency exchange demand increased by 25%, mainly driven by travel recovery and hedging needs.

But beware of short-term fluctuations. The Bank of Japan’s Governor Ueda Kazuo recently made hawkish comments, pushing market expectations of rate hikes to 80%, with a 0.25 basis point increase to 0.75% expected at the December 19 meeting (30-year high), with Japanese bond yields reaching 17-year highs of 1.93%. USD/JPY has fallen from the early-year high of 160 to 154.58; short-term may fluctuate around 155, but medium to long-term forecasts suggest a drop below 150.

Advice for investors: JPY is one of the world’s three major safe-haven currencies (along with USD and CHF), suitable for hedging against Taiwan stock volatility. However, arbitrage closing risks may cause 2-5% fluctuations; staggered entry can effectively mitigate this.

After acquiring JPY, how to use it?

Don’t let your JPY sit idle without interest—here are some advanced options:

JPY fixed deposit: Most stable. E.SUN and Taiwan Bank offer foreign currency accounts starting from 10,000 JPY, with annual interest rates of 1.5-1.8%.

JPY insurance policies: Medium-term holding. Cathay and Fubon Life offer JPY savings insurance with guaranteed rates of 2-3%.

JPY ETFs: Growth allocation. Yuanta 00675U tracks the JPY index, can be bought as fractional shares via broker apps, with an annual management fee of 0.4%.

JPY forex trading: Advanced swing trading. Directly trade USD/JPY or EUR/JPY, with two-way and 24-hour trading, suitable for capturing exchange rate movements.

While JPY is a strong hedge, it also involves two-way volatility risks. Global arbitrage closing or geopolitical conflicts could suppress prices. Beginners are advised to start with fixed deposits or ETFs, and only try swing trading after gaining experience.

Common Q&A about currency exchange

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

Using the exchange formula: JPY amount = NT$ amount × current rate. For example, at Taiwan Bank’s cash selling rate of 4.85, 10,000 NT$ ≈ 48,500 JPY; at spot rate 4.87, ≈ 48,700 JPY. Difference is only about 200 JPY (NT$40).

Q. What ID do I need for counter exchange?

For locals: ID card + passport; foreigners: passport + residence permit. If booking online, also bring transaction notification. Under 20 need parental accompaniment; large amounts (over 100,000 NT$) require source declaration.

Q. Are there limits for foreign currency ATM withdrawals?

Different banks have different limits. CTBC and others: daily limit around 120,000 NT$ equivalent; E.SUN: single transaction 50,000 NT$, daily 150,000 NT$; others: usually 20,000 per transaction. Post-2025 regulations generally lower limits to 100,000-150,000 NT$, so consider multiple withdrawals or using your own bank card to avoid cross-bank fees.

Q. How does JPY to HKD compare?

To compare JPY to HKD exchange rates, consult professional forex platforms. Generally, JPY has larger fluctuations than HKD (which is pegged to USD), making JPY a better long-term hedge.

Final advice

JPY is no longer just travel “pocket money” but an asset with hedging and investment value. The most practical approach for beginners is: start with “Taiwan Bank online currency settlement + airport pickup” or “foreign currency ATM”, then transfer to fixed deposits or ETFs. This reduces costs, enjoys favorable rates, and adds a layer of protection during global market fluctuations.

The key is not to wait until the last minute or to exchange everything at once. Staggered entry and partial exchange, combined with active management, are the best ways to maximize JPY value.