7 Best Way to Send Money to Japan in 2024

Looking to transfer funds to Japan but overwhelmed by the options? Discover the seven best ways to send money to Japan, tailored to provide you with fast, secure, and cost-effective solutions.

Whether you’re supporting family, paying for services, or managing business transactions, our expert guide will navigate you to the perfect choice for your financial needs.

1. Using Banks for International Money Transfers

Pros

• Familiarity: Many people trust their banks and are familiar with their services.
• Convenience: Banks usually allow you to set up standing orders for regular payments or bulk transfers.
• Large transfers: Banks generally allow you to transfer larger amounts of money compared to other services.

Cons

• High fees: Banks tend to charge higher fees than other remittance services.
• Slow processing time: It could take up to 5 business days or longer for your money transfer to arrive.
• Unfavorable exchange rates: Banks might offer less competitive exchange rates than other methods

2. Wise (Formerly TransferWise)

Pros

• Transparent Fees: Wise charges a small, flat fee of $5.41 plus a percentage fee of 0.55% of the converted amount. This fee structure is presented upfront, ensuring that there are no surprises.
• Competitive Exchange Rates: Wise is known for offering exchange rates that are close to the mid-market rate, which can often be more favorable than the rates offered by traditional banks.
• Speed of Transfer: Wise can process transfers quickly, with the possibility of same-day or even instant transfers on many popular routes.
• Convenience: The Wise app makes it easy to send money to Japan, check exchange rates, and repeat previous transfers, simplifying the process for regular payments.

Cons

• Flat Fee on Every Transaction: Regardless of the amount being sent, the sender will always incur a flat fee, which might not be economical for very small transfers.
• Percentage Fee on the Converted Amount: In addition to the flat fee, a percentage of the converted amount is charged, which could add up for larger transactions.

Guide to JPY transfers on Wise

Sending JPY to Japan

With Wise, you can send JPY to bank accounts located in Japan, with necessary recipient information such as full bank account name, account number, account type, and bank name and branch. Transfer limits depend on the originating currency, and it usually takes one working day for the money to arrive (with up to two working days needed for conversion).

Sending JPY from Japan

When sending JPY from Japan, you can send up to 1 million JPY per transfer, without restriction on the number of transfers. Payments can only be made by bank transfer or debit card from your own bank account within Japan. It takes 0-2 working days for your money to reach Wise, with conversion taking up to 2 working days. Most payments sent to PayPay bank accounts reach Wise instantly, and transfers are processed 24 hours a day.

Refunds and Regulations

Refunds depend on your payment method: Japanese debit card payments take 5-10 working days, while bank transfers take 1-2 working days. If you live in Japan, you cannot hold more than 1 million JPY across all balances or jars due to local regulations. First-time senders from Japan will need to complete a verification process and provide the necessary documentation.

Wise Debit Card

Wise debit cards are available in Japan and can be used in many countries and currencies. The Wise debit card is linked to a Wise multi-currency account, which lets you hold, exchange, receive, and send payments in 50+ currencies.

The Wise debit card can be used to pay for products and services anywhere that accepts debit card payments. You can also pay for online transactions with your debit card. Certain transactions may require you to use the Wise app, SMS, or a phone call to verify/approve the transaction.

The Wise debit card has a one-time fee of $9 USD for ordering the card.  Each month, you can make two ATM withdrawals of up to $100 each month at no charge. After that, the fee is $1.50 USD per withdrawal. A 2% fee is charged for currency conversions. The Wise debit card is a cost-effective and convenient option for international transactions and purchases in Japan.

3. Cryptocurrency

Pros

• Potential low-cost transfers if crypto assets are used wisely. Research and caution are required.
• Instant transactions: Transfers can be completed in minutes with certain cryptocurrencies.

Cons

• High volatility: The value of cryptocurrencies can change significantly within a short period, making it risky.
• Complex process: Using cryptocurrencies for money transfers is not as straightforward as other methods and requires a learning curve.
• Not widely accepted: Recipients may encounter difficulties converting cryptocurrency to local currency or finding businesses that accept them.

How to Transfer Money from Binance to Japan

Here are the steps on how to use Binance to transfer money to Japan, starting with buying Bitcoin or another cryptocurrency in another country, then selling for JPY and withdrawing to a Japanese bank:

1. Create a Binance account. You can create a Binance account by visiting the Binance website and clicking on the “Create Account” button. You will need to provide your name, email address, and password.
2. Verify your account. Once you have created your account, you will need to verify your identity. This process is required by law to prevent fraud and money laundering. You can verify your identity by uploading a copy of your government-issued ID and a selfie.
3. Deposit funds to your Binance account. You can deposit funds to your Binance account using a variety of methods, including bank transfer, credit card, and debit card. Once your funds have been deposited, you can start buying Bitcoin or another cryptocurrency.
4. Sell your cryptocurrency for JPY. Once you have bought Bitcoin or another cryptocurrency, you can sell it for JPY. To do this, go to the “Trade” page and select the “JPY” pair, including BTC/JPY, ETH/JPY, and BNB/JPY. Enter the amount of cryptocurrency you want to sell and click on the “Sell” button.
5. Withdraw your JPY to your Japanese bank account. Once you have sold your cryptocurrency for JPY, you can withdraw the funds to your Japanese bank account. To do this, go to the “Wallet” page and select the “JPY” currency. Enter the amount of JPY you want to withdraw and click on the “Withdraw” button.

Overall, Binance is a convenient and secure way to transfer money to Japan. However, it is important to be aware of the fees and regulations involved before using Binance.

4. Revolut

Pros

• Low fees: Offers competitive low-cost money transfers.
• Quick processing time: Transfers can be completed within a business day.
• Multi-currency account: Allows you to hold and transfer funds within multiple currencies.

Cons

• Limited availability: Not available in every country.

Revolut provides a fast and easy way to send money to Japan from various countries, including Malta, Iceland, the UK, the USA, Ireland, and Finland. You can send money to Japan in three simple steps, choose how much you want to send, where you want to send it, and get great exchange rates without hidden fees. 

Revolut also offers low fees and competitive rates across all major currencies, making it a cost-effective option for sending money to Japan. With Revolut, you can exchange currencies, transfer money between countries, and hold local currencies on your multi-currency account for travel. Overall, Revolut is a reliable and convenient option to consider if you need to transfer money to Japan.

5. PayPal

Pros

• Widely recognized platform: Many people are already familiar with PayPal.
• Relatively quick processing time: It takes 1-3 days to transfer funds.
• Global reach: Available in over 200 countries worldwide.

Cons

• High fees: Charges around 3-4% for international transfers.
• Lower transfer limits compared to other services.

PayPal is another option for transferring money to Japan. PayPal allows you to send money to Japan from various countries, including the UK, the USA, Australia, Ireland, and others. PayPal charges a fee for international transfers, which varies depending on the country you are sending money from and the amount you are sending.

The transfer time also varies depending on the country you are sending money from and the recipient’s bank. However, PayPal offers a convenient and secure way to send money to Japan, and it is widely accepted in Japan for online purchases and payments.

6. Western Union

Pros

• Large global presence: Available in over 200 countries and well-known worldwide.
• Cash pick-up option available for the recipient.

Cons

• Expensive fees: Charges higher fees compared to other remittance services.
• Unfavorable exchange rates can make transfers more expensive.

Western Union is another great option for transferring money to Japan. Western Union allows you to send money to Japan from various countries, including the USA, Australia, and others. Western Union charges a fee for international transfers, which varies depending on the country you are sending money from and the amount you are sending.

The transfer time also varies depending on the country you are sending money from and the recipient’s bank. However, Western Union offers a convenient and secure way to send money to Japan, and it has a large network of agent locations worldwide.

7. OFX

Pros

• Excellent exchange rates: Offers rates close to the interbank rate (within 1%).
• Fast processing time: Transfers can be done in as little as 24 hours.
• Low fees for Tokyo Cheapo readers, which means no transfer fees at all!

Cons

• Currently not available for long-term residents of Japan.

OFX is a reliable option for transferring money to Japan. OFX allows you to send money to Japan from various countries, including the USA. OFX offers competitive exchange rates and low fees for high-value transfers and corporate customers.

OFX also provides a Direct Debit option for easy transfers. Most international money transfers to Japan are completed within 1-2 business days of OFX receiving your funds. OFX does not enforce any limits on the amount of money you may wish to transfer to Japan. With OFX, you can transfer money to over 170 countries and 50+ currencies, making it a versatile option for international money transfers.

Factors to Consider When Choosing the Best Money Transfer Method

1. Fees: Different methods charge varying fees for international transfers. Take the time to compare fees among different service providers before settling on one.
2. Exchange rates: Look for a service that offers competitive exchange rates close to the mid-market rate. This ensures you get the most out of your transfer without losing too much due to high rates.
3. Processing time: Evaluate how quickly you need the transferred money to reach its destination and choose an appropriate method accordingly.
4. Convenience: Some methods, like online platforms or mobile apps, are easier to use compared to traditional banks that may require multiple visits or complex procedures.
5. Availability: Ensure your chosen money transfer method operates in both the sending and receiving countries.
6. Security and reliability: It’s essential to choose a reputable and licensed provider to ensure safe transactions and protect your financial information.
7. Customer support: In case of any issues, opt for a provider with reliable customer support that can assist you promptly and effectively.

The best way to send money to Japan largely boils down to individual preferences and requirements. Wise (formerly TransferWise) stands out as one of the top choices due to its low fees, competitive exchange rates, fast processing time, and user-friendly platform. However, depending on your needs, other methods such as Revolut, OFX, or PayPal might be more suitable for your specific circumstances.

Remember always to conduct thorough research before committing to any international money transfer service, and constantly review your chosen method to ensure you continue getting the best value and service possible. By staying informed and exploring various options, you can save a significant amount of money when sending money to Japan.