Best banks for foreigners in Japan: Ultimate Guide

If you’re an expat in Japan, you’ll need a Japanese bank account to receive payments, set up crucial utilities and manage your money day to day.

To help you choose the right account for your needs, this guide walks through the best banks in Japan for foreigners. We’ll also look at how Wise and the Wise multi-currency account can help you sending, spending and receiving internationally.

Send money with the real rate💡

Opening a bank account in Japan - Who is eligible? And what do you need?

Here’s an overview of the key requirements in place at most major banks in Japan for foreigners looking to open an account:

• You have been in Japan for at least 6 months
  You may well need to be a resident of Japan as defined by FEFTA (Foreign Exchange and Foreign Trade Act). This usually means you’ve been in Japan for at least 6 months, or are employed in Japan and hold a valid visa and permit. If you have not been resident for 6 months, you may be able to open an account with some banks - but it might not offer a full range of services as it would often be the same account as offered to non-resident customers.

• You have your Residence (Zairyu)
  You need to have your Residence card - also known as a Zairyu card. Your bank may ask that your card has at least 3 months of validity remaining on it. Japan Post Bank, for example, states that applicants must wait until after their card has been renewed if it is due to expire in 3 months or less.[1]

• You have an address in Japan
  You should be able to prove your address in Japan - often with a utility bill or similar document in your name.

• (Optional) You have your Hanko
  You might need a hanko - a personal seal. However, some banks, such as Shinsei Bank, will allow you to use a signature instead[2]

If you’re not sure about whether you’d be defined as a resident under FEFTA, Shinsei Bank has a handy online simulation which you can work through to check.[3]

Which is the best bank for foreigners in Japan?

The best bank in Japan will depend on your personal needs and preferences. However, there are a few of Japan’s major banks which are usually better suited to helping foreigners get accounts set up. Here are a few of them:

1. JP Bank
2. Shinsei Bank
3. Rakuten Bank
4. MUFG Bank

Let’s take a more detailed look at some options of the best bank for foreigners in Japan.

1. Japan Post Bank (ゆうちょ銀行)

Japan Post Bank is especially popular among foreigners in Japan and it provides online information for customers who want to open an account in over a dozen languages such as English, Chinese, Korean, Spanish, French, and more.[4]

How to open a bank account with Japan Post Bank
Take along ID documents and visit a Japan Post Bank branch.

ID documents you need to open a bank account with Japan Post Bank
Residence card (Zairyu card) Proof of work or student enrollment

Opening an account may take some time. Your account passbook may be sent to your home address at a later stage, rather than being handed to you on the day.[1]

If you’re an expat in Japan you’ll probably need to send and receive international transfers from time to time.

To send money abroad with Japan Post Bank, transfer fees cost 3,000 JPY via online banking or 7,500 JPY at a branch. You should also expect that exchange rates provided by Japan Post Bank include markup, just like other banks. Furthermore, intermediary banks’ fees may cost, too.[5]

If you receive money from abroad, you can only receive in EUR or USD, and you may find intermediary charges are deducted as the payment is processed - these will be at least 5 EUR or 10 USD for transfers over 100 EUR/USD.[6]

Japan Post Bank
International transfer fees	3,000 JPY via online banking or 7,500 JPY at a branch
Exchange rates	May include markup
Intermediary banks’ fees	May occur
International transfer receiving fees	At least 5 EUR or 10 USD

💡Send money abroad from Japan? See if you can save with Wise

If you need to send or receive an international payment, you may find you can save with Wise and the Wise multi-currency account.

Let’s look an example to illustrate this: Sending 100,000 JPY (including transfer fees) to the United States.

Sending money abroad with a Japanese bank may cost you a lot, not just because of the expensive transfer fees but also thanks to markups in the exchange rates used.

After you successfully open a bank account in Japan, you can use an international transfer service like Wise - and may be able to save on international transfer costs.

Moreover, you can receive money for free to a Wise multi-currency account from the UK, USA, Australia, New Zealand, Singapore and many European countries, just as if you had a local bank account in those countries. Hold your money in 50+ different currencies, and switch it using the mid-market rate whenever you want to!

See if you can save🚀

2. Shinsei Bank (新生銀行)

You can apply for a Shinsei Bank account if you’ve been resident in Japan for 6 months, or are working in the country. You’ll also need a Japanese cell phone. There’s a helpful tool on the Shinsei Bank website to enter your personal information and check your eligibility.

How to open a bank account with Shinsei Bank

1. Order a Starter Pack - which will take a few days to arrive by mail
2. Complete the application in hard copy
3. Send the application along with copies of the required paperwork
4. Your account documents will arrive in the post once everything has been verified [7,8]

ID documents you need to open a bank account with Shinsei Bank
Residence card (Zairyu card) Japanese driving license or Certificate of Residence (Juminhyo)

To send an international transfer with Shinsei Bank you can use the Go Remit service from your smartphone. Here are the fees:[9]

Shinsei Bank GoRemit
Shinsei PowerFlex JPY account	2,000 JPY
Shinsei PowerFlex foreign currency account	4,000 JPY
Receiving international transfers	2,000 JPY + any intermediary charges[10]
Exchange rates	May include markup

3. Rakuten Bank (楽天銀行)

Rakuten is the biggest online bank in Japan. You can open a bank account online without visiting a branch or mailing the documents physically.

Rakuten also offers a range of credit cards which can be used to earn cashback and points to spend online or in the Rakuten marketplace site.

How to open a bank account with Rakuten Bank

1. Simply upload images of the documents required using your smartphone
2. Receive your account card and information by mail later.[11]

ID documents you need to open a bank account with Rakuten Bank
You need to upload photos of any 2 documents from the list below; Passport　 Residence card (Zairyu card)　 Certificate of residence (Juminhyo) Japanese driving license　 MyNumber card Utility bill[12]

You can send international payments from a Rakuten account. Here are the costs:[13]

Rakuten Bank
International transfer fees	750 JPY
Intermediary fees	1,000 JPY
Exchange rates	May include markup

4. MUFG Bank (三菱UFJ銀行)

Japanese customers can open an account with MUFG online or using a smartphone - but foreigners in Japan will need to visit a branch to get started.

How to open a bank account with MUFG Bank

Visit a branch with necessary ID documents

ID documents you need to open a bank account with MUFG
Residence card (Zairyu card) Hanko (personal seal) MyNumber documents confirming your MyNumber Proof of employment or proof of your stay in Japan[14]*

※Not all branches can deal with applications from foreign customers, and advance appointment is necessary[15]

You can send and receive international payments with MUFG. To send via online banking, it costs 3,000 JPY, at a branch the cost is 7,500 JPY. If you send online, you cannot pay beforehand the intermediary bank fees, and they’ll be likely to be deducted from the amount you send. And again, don’t forget that the bank uses exchange rates with a possible markup for your international transfer. [16]

No matter who you choose to bank with while you’re in Japan, make sure you check out how low cost payments from Wise, and the Wise multi-currency borderless account may be able to help you send and receive money internationally.

Check out Wise🔎

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Sources

1. Japan Post Bank - To foreign nationals applying to open an account
2. Shinsei Bank - Do I need a personal seal (hanko) to open an account?
3. Shinsei Bank - Foreigners opening a bank account
4. Japan Post Bank - For foreigners who want to open a bank account (in Japanese)
5. Japan Post Bank - International transfer (in Japanese)
6. Japan Post Bank - Receiving an international transfer (in Japanese)
7. Shinsei Bank - Open an account by mail
8. Shinsei Bank - PowerFlex Account Application
9. Shinsei Bank - How to send money overseas with GoRemit
10. Shinsei Bank - Receiving Funds from Overseas
11. Rakuten Bank - Open a bank account today
12. Wise Japan Blog - How foreigners can open a bank account in Japan
13. Rakuten Bank - International transfer (in Japanese)
14. MUFG Bank - Clients wishing to open a personal bank account
15. MUFG Bank - Branch locator (within Japan)
16. MUFG Bank - International transfer (in Japanese)