Avoiding pitfalls when exchanging yen at the airport: 4 cost-tested methods, with a maximum savings of 2000 yuan

December 10, 2025, the Taiwan dollar against the Japanese yen surpasses 4.85, boosting travel enthusiasm to Japan. But did you know? Using the same 50,000 TWD through different channels could cost you an extra 1,500-2,000 TWD. How should you choose where to exchange yen at the airport? We’ve listed the latest four exchange methods in Taiwan and their real-time rates.

Is it really cost-effective now? Let the data speak

By the end of 2025, the yen exchange rate has appreciated by 8.7% (from 4.46 at the start of the year to 4.85 now). For Taiwanese investors, this means a pretty good actual return on yen exchange. Especially under the pressure of TWD depreciation, demand for airport yen exchange increased by 25% in the second half of the year, mainly driven by travel recovery and hedging needs.

But the cost-effectiveness depends on—choosing the right method.

Bank of Japan Governor Ueda Kazuo recently signaled a hawkish stance, with market expectations of a 0.25 basis point rate hike to 0.75% on December 19 (a 30-year high), and Japanese bond yields reaching a 17-year high of 1.93%. In this context, the yen, as one of the world’s three major safe-haven currencies (alongside USD and Swiss Franc), may fluctuate 2-5% in the short term, but will find support in the medium to long term. USD/JPY has fallen from a high of 160 at the start of the year to 154.58 now, with expectations to stay below 150 in the medium to long term.

Conclusion: Exchanging yen now is indeed cost-effective, but it’s better to do it in batches. Converting all at once might result in buying at a high point.

Why should the yen be on your radar?

The yen is not just “pocket money” for travel; it also has practical and investment value.

Daily life: Japan’s cash culture is strong. Most stores in Tokyo, Osaka, Hokkaido, and Okinawa only accept cash (credit card penetration is only 60%). Buying Japanese cosmetics, fashion, or anime merchandise often requires direct yen payments to agents or Japanese websites. Long-term residents should exchange currency in advance to avoid sudden exchange rate fluctuations.

Investment: The yen has maintained its status as a safe-haven currency long-term due to Japan’s stable economy and low debt. During the Russia-Ukraine conflict in 2022, the yen appreciated 8% in a week, buffering a 10% stock market decline. For Taiwanese investors, holding yen can hedge against Taiwan stock risks. Additionally, Japan’s ultra-low interest rate (only 0.5%) makes it a “funding currency.” Many investors borrow low-interest yen to buy higher-yield USD (USD-JPY interest rate gap of 4.0%), and when risks rise, they close positions to buy back yen—this arbitrage shows how mature the yen’s liquidity and trading mechanisms are.

Four airport yen exchange methods, cost overview

Method 1: Bank counter cash exchange

Visit a bank branch or airport counter to exchange cash directly. This is the most traditional way. Simple, transparent, and reliable, but selling at the cash rate (1-2% worse than spot rate), plus possible handling fees, makes it the most expensive among the four methods.

Real data (2025/12/10):

• Taiwan Bank cash selling rate: 0.2060 TWD/JPY (1 TWD = 4.85 JPY)
• E.SUN Bank cash selling rate: 0.2067 TWD/JPY, with NT$100 handling fee per transaction
• E.SUN Bank cash selling rate: 0.2058 TWD/JPY, with NT$100 handling fee per transaction

For NT$50,000: Taiwan Bank can exchange about 242,718 JPY; E.SUN Bank yields about 2,415 JPY less (equivalent to NT$484 loss), plus NT$100 fee, total cost loss around NT$1,500-2,000.

Advantages: Denominations are complete (1,000/5,000/10,000 JPY options), safe, with staff assistance.
Disadvantages: Exchange rate spread, limited business hours (Weekdays 9:00-15:30), possible additional fees.
Suitable for: Those unfamiliar with online operations or needing small, temporary exchanges.

Method 2: Online currency exchange, withdrawal at counter or ATM

Use bank app or online banking to convert TWD to JPY at spot sell rate (about 1% better than cash rate), then deposit into a foreign currency account. To get cash, withdraw at counters or foreign currency ATMs, incurring exchange spread and handling fees (from NT$100+).

Ideal for those wanting to monitor exchange rates and buy in batches. For example, when TWD/JPY drops below 4.80, plan to exchange to average costs.

E.SUN Bank app allows currency exchange and cash withdrawal with a fee equal to the rate difference, minimum NT$100. E.SUN’s foreign currency ATMs allow withdrawal from TWD accounts, with a daily limit of NT$150,000, no exchange fee.

Advantages: 24/7 operation, batch buying, better rates than counters.
Disadvantages: Need to open a foreign currency account, withdrawal fees (NT$5-100 cross-bank).
Suitable for: Experienced forex users, those with foreign currency accounts, long-term yen holders (can also invest in yen fixed deposits with current annual interest of 1.5-1.8%).

Method 3: Airport “one-stop” online currency settlement

No need to open a foreign currency account first. Fill in currency, amount, branch, and date on the bank’s website, then transfer funds. Afterward, bring ID and transaction notice to designated branch to pick up. Taiwan Bank’s “Easy Purchase” online settlement is fee-free (NT$10 if paid via TaiwanPay), with about 0.5% rate advantage.

Airport advantage: Taoyuan Airport has 14 Taiwan Bank outlets, including 2 open 24 hours, perfectly solving pre-departure currency needs. Ideal for planned travelers—reserve in advance, pick up at the airport before departure, no need to visit the bank separately.

Advantages: Better rates, often no fees, can choose airport pickup, reserve 1-3 days before travel.
Disadvantages: Need to pre-book, pickup during bank hours, branches cannot modify reservation.
Suitable for: Well-planned travelers who want to pick up cash at the airport.

Method 4: Foreign currency ATM 24-hour withdrawal

Use a chip-enabled bank card at foreign currency ATMs to withdraw yen cash, supporting 24-hour and cross-bank operations. From TWD accounts, only NT$5 cross-bank fee per withdrawal. Single transaction limit varies by bank (e.g., CTBC equivalent NT$120,000, Taishin NT$150,000, E.SUN NT$50,000).

Key reminder: Limited ATM locations (~200 nationwide), cash may run out during peak times, and denominations are fixed (1,000/5,000/10,000 JPY). Don’t wait until the last minute, or you might find no cash available.

Advantages: Instant withdrawal, flexible, low fees from TWD accounts, no reservation needed.
Disadvantages: Limited locations and denominations, cash shortages during peak hours.
Suitable for: Those with no time to visit banks or need urgent cash.

Cost comparison of 4 methods (based on NT$50,000)

Best for beginners: Online settlement + airport pickup, lowest cost, transparent process, all done before departure.

Cash rate vs spot rate, is the difference really significant?

Cash Rate: The rate banks offer for physical cash (bills/coins), used for travel exchanges or on-site transactions. Advantage: immediate cash delivery; disadvantage: usually 1-2% worse than spot rate, higher cost.

Spot Rate: The exchange rate for transactions settled within two business days (T+2) in the forex market, mainly for electronic transfers or non-cash settlement. Closer to international market price but requires waiting.

Actual difference: For NT$50,000, using spot rate (~4.87) yields about 200 more yen than cash rate (4.85), saving NT$40. Multiply this over multiple exchanges, savings add up.

Must-bring list for airport yen exchange

• ID + Passport (mandatory for Taiwanese to exchange cash)
• Transaction notice (if pre-booked online)
• Cash (if exchanging cash at counter)
• Bank card (if using foreign currency ATM)

Special notes: Under 20 needs parent’s accompaniment and consent; large exchanges (over NT$100,000) may require source of funds declaration.

After exchanging yen, don’t let your money sit idle

Yen is no longer just for spending; it can generate income. After exchange, options include:

Yen fixed deposit: Most stable, open by E.SUN/Taiwan Bank, minimum NT$10,000, annual interest 1.5-1.8%.
Yen savings insurance: Medium-term holding, sold by Cathay/Fubon Life, guaranteed interest 2-3%.
Yen ETFs: Growth-oriented, Yuanta 00675U tracks yen index, can buy fractional shares via brokerage apps.
Forex trading: Advanced players can trade USD/JPY or EUR/JPY, 24/7, long/short, capturing short-term volatility.

While yen is a safe-haven, it still has two-way risk. The BOJ rate hike is positive, but global arbitrage unwinding or geopolitical conflicts could suppress it. For investment use, yen ETFs with 0.4% annual management fee can diversify risk effectively.

Summary: Choose the right method, save big on currency exchange

Whether you’re planning to visit Japan next year or want to hedge against TWD depreciation by converting some funds into yen, following the principles of “batch exchange + don’t leave money idle after exchange” can minimize costs and maximize returns.

For beginners: The most convenient airport method is Taiwan Bank’s online settlement—reserve 1-3 days in advance, pick up at two 24-hour airport outlets before departure, avoiding the hassle of visiting the bank in person.

Advanced approach: Use online exchange + foreign currency ATM to buy yen in batches when the rate is low (TWD/JPY below 4.80), then transfer into yen fixed deposits or ETFs. This not only hedges Taiwan stock risks but also earns stable interest.

Not only can you travel more cost-effectively, but during global market turbulence, adding a layer of yen protection is a truly smart wealth management strategy.