Living in Tokyo: Japanese money, ATMs, Yen rates and banking

O U R T W O C E N T S A B O U T Y E N

Money "makes the world go around", as the saying goes, and it's no different in Tokyo. Even their counting system is base ten like the West so understanding Japanese money and paying with it becomes second nature very quickly.

Some differences that will be worth noting is that Japan has a "cash" society. People are used to paying cash, for everything, and many businesses are used to "being paid" in cash. Of course, major department stores and most restaurants do now accept credit cards. However, in Tokyo you certainly will need to carry more cash with you than perhaps you are accustomed to in your home country.

The following are helpful facts and some advice to managing your money in the world's largest metropolitan city.

# What's your money worth? - The exchange rate between your home country's money and the Japanese Yen is critical to know when you are considering converting money For example, the exchange rate between the Yen and US dollar fluctuate by more than 30% over the past 3 years! Keeping aware of these changes in value, and timing when to convert or not, can mean the difference between making or losing significant sums of money.

Convert any currency to another currency with current exchange rates. Go >>

US Dollar to Yen current exchange rate Go >>

USD to Yen forecast for the next 6 months rolling Go >>

Many banks in Japan, particularly Citibank [described below], will allow you to keep "foreign currency" accounts so you can maintain a "hedging" amount of home currency and convert only what you need.

Converting
any currency

# Multi-money banking at Citibank - Citibank, Tokyo has many branches throughout the city [Look] and they offer excellent online banking services. You can keep your money in a "multi-money" savings account, in your home currency, and convert to Yen when you decide. They also allow investing in CDs, investing in other foreign currencies, and transfering money between banks in Japan or between Japan and your home country ... and ALL ONLINE, as well! The only knock against Citibank Tokyo is that they will not allow you to have a "joint" person account [as you can in the States], only an individual account. Go >>

# A good "regional bank" - Sumitomo Mitsui Banking Corporation (SMBC) is one of the largest banks in Japan that is not burdened with excessive debt or scandal as other banks have been in recent years. Furthermore, they have ATMS everywhere and offer online banking as well. Unfortunately, their web site is not offered in English so banking online will not be easy until you've mastered some of the language. However, they are very friendly in physical branches and someone will speak enough English to help you open an account. SMBC also allows you to keep money with them in your native currency as well. Probably the greatest service they offer is with only the equivalent of a few thousand dollars in your account, they will issue a combination Japanese credit card [well-respected] and ATM card ("all-in-one" card called "One's Card") that will help you establish credit in Japan. Go >>

# Japanese Yen Denominations - Japanese money, known as the "Yen" [actually pronounced "en" in the Japanese language], is easy to use because it based on a system of ten like the west:

* 1 Yen coin (like the penny)
* 10 Yen coin (10x1)
* 100 Yen coin (10x10)
* 1,000 Yen bill (10x100)
* 10,000 Yen bill (10x1000)

There is also a 5 Yen coin (like the nickel), a 500 Yen coin and a 5,000 Yen bill. Click << Here >> to take a detailed look at the Japanese Yen bills and coins.

Also of interest to note is that each bill is sized differently to be less likely to be confuse during payment. The thousand Yen bill is the shortest, the 5 thousand Yen bill is approximately 1 cm longer and the 10 thousand Yen bill is 1 cm longer than the 5 thousand bill. There are also Braille dots along the left edge of each bill denomination for the seeing impaired.

Yearn for Yen!

Japan may have a cash society and things may be more costly than your foreign home, but you will soon come to love the conveniences and advantages in the land governed by Yen. For instance, you can obtain money at any "post office" [in addition to banks] and even pay your utility bills or othe store debts there as well. Futhermore, there is no tipping "anywhere" or "anytime" in the whole of Japan!