Despite the increasing availability of electronic payments and credit cards, Japan is still largely a cash-based society. Travelers often find themselves wishing they had more cash on hand for various expenses. Recently, a friend of mine from Northern Europe visited Japan and shared a very convenient solution: Wise
Wise is a financial institution that offers a multi-currency account, allowing you to manage money in different currencies and exchange it at favorable rates when needed. Here’s a detailed guide on how you can use Wise effectively during your trip to Japan:
Setting Up Your Wise Account and Debit Card
First, set up a Wise multi-currency account in your home country and apply for a Wise debit card. This card is issued by Wise and can be used internationally. Setting up your account is straightforward:
– Sign Up:
Visit the [Wise website](https://wise.com/) and sign up for an account. You’ll need to provide some personal information and verify your identity.
– Multi-Currency Account:
Once your account is set up, you can open a multi-currency account. This account allows you to hold and manage multiple currencies, making it ideal for international travelers.
– Order Your Debit Card:
After setting up your multi-currency account, you can order a Wise debit card. This card can be shipped to your address and typically arrives within a few weeks.
Exchanging Currency to JPY
With your Wise account, you can convert your home currency to Japanese yen (JPY) when the exchange rate is favorable. This can be done through the Wise app or website:
– Add Funds: First, add funds to your Wise account in your home currency. You can add funds to your multi-currency account balance using methods such as bank transfers. Other deposit methods, such as debit or credit cards, may incur a small fee. When selecting a deposit method, you will be able to see the fees and the estimated arrival time for the fund
– Convert Currency: Use the app or website to convert your home currency to JPY. Wise offers competitive exchange rates and low fees, allowing you to get more yen for your money.
– Hold JPY: Once converted, you can hold the JPY in your Wise account until you need it during your trip.
Using the Wise Debit Card in Japan
If you have a Wise debit card, you can use it directly in Japan at ATMs and stores. Here are the specifics:
– ATM Withdrawals: You can withdraw yen from ATMs across Japan. Wise allows two free withdrawals per month, but if the total amount exceeds 30,000 JPY, a fee will apply. Look for ATMs with the Visa or MasterCard logo to ensure compatibility. Some common ATM locations include convenience stores like 7-Eleven, FamilyMart, and Lawson, as well as major banks.
– In-Store Payments: Many stores in Japan accept the Wise debit card for payments in yen. This includes supermarkets, restaurants, and retail stores. Using your Wise card for payments can help you avoid the hassle of carrying large amounts of cash.
Saving on Exchange Fees
One of the main benefits of using Wise is the savings on exchange fees. Traditional banks and currency exchange services often charge high fees and offer unfavorable exchange rates. Wise, on the other hand, offers:
– Low Fees: Wise charges lower fees compared to most banks and exchange services. These fees are transparent and can be viewed before you make any transaction.
– Favorable Exchange Rates: Wise uses the real exchange rate, also known as the mid-market rate, which is the fairest rate you can get. This rate is updated regularly to reflect the current market conditions.
No Wasted Currency
Prepaid cards and leftover Japanese coins can often end up being useless, leading to wasted money. The Wise card solves this problem by allowing you to retain any remaining yen in your account without it going to waste:
– Retain JPY: If you don’t use up all the yen in your Wise account during your trip, you can keep the remaining yen in your account for future trips or expenses.
– Convert Back: Alternatively, you can convert the yen back to your home currency when the exchange rate is favorable, ensuring you don’t lose out on your money.
Managing Remaining Yen
If you don’t use up all the yen in your Wise account during your trip, you have two options:
– Keep the Remaining Yen: You can keep the yen in your Wise account for future trips to Japan or any other expenses that require yen.
– Convert Back to Home Currency: When the exchange rate is favorable, you can convert the remaining yen back to your home currency. This flexibility ensures you get the best value for your money.
Additional Information
This information above is a summary of the Wise website. Since the rules for the WISE debit card vary depending on the issuing country, please refer to the Wise website for your country for detailed information
– [Wise Official Website](https://wise.com/)
By planning ahead and using Wise to exchange currency, you can ensure smooth and cost-effective transactions during your trip to Japan. The convenience and cost savings offered by Wise make it an excellent choice for managing your travel finances.
