How to Send Money Overseas from Japan (Cheapest Methods)

Sending money overseas from Japan can be surprisingly expensive if you rely on the “default” options suggested by banks. Many foreign residents only realize this after losing tens of thousands of yen in hidden fees, poor exchange rates, or delays.

This guide breaks down the cheapest, most reliable ways to send money abroad from Japan, based on real experiences from foreign residents, students, and workers in 2025–2026.

Why Sending Money from Japan Is Tricky

Japan’s financial system is still conservative and heavily bank-centered. Unlike some countries, competition is limited, and transparency around fees is often poor.

Common pain points foreigners face:

• High bank transfer fees

• Bad exchange rates hidden in the conversion

• Strict identity checks

• Transfers taking 3–7 business days

• Some services rejecting non-Japanese names or addresses

Anonymized case:
A Sri Lankan IT engineer in Tokyo sent ¥300,000 to his home country via a major Japanese bank. The total cost (fees + rate loss) was nearly ¥12,000, even though the bank advertised a “¥4,000 transfer fee.”

Cheapest Ways to Send Money Overseas from Japan

1. Wise (Formerly TransferWise) — Best Overall

Best for: Most foreigners sending money regularly
Typical cost: 0.6%–1.0% total
Speed: Same day to 2 business days

Wise consistently offers the best exchange rates (real mid-market rate) with transparent fees.

Pros:

• Real exchange rate (no markup)

• Fully English-supported

• Works with Japanese bank accounts

• Strong compliance but fair to foreigners

Cons:

• Requires identity verification

• Some countries have transfer limits

Real-world use:
Many foreign residents use Wise for monthly remittances to Sri Lanka, Philippines, India, Nepal, and EU countries with savings of 30–60% vs Japanese banks.

2. SBI Remit — Good for Asia

Best for: Transfers to Southeast & South Asia
Typical cost: ¥460–¥1,500 + small FX margin
Speed: Same day to 2 days

SBI Remit is one of the few Japan-based remittance services that actively supports foreigners.

Pros:

• Cheap for Asia

• English interface available

• Cash pickup options in some countries

Cons:

• Exchange rate not as good as Wise

• Limited destination countries

3. Japan Post Bank (Yucho) — Reliable but Expensive

Best for: Large transfers where compliance matters
Typical cost: ¥4,000–¥7,500 + FX margin
Speed: 3–7 business days

Japan Post Bank is trusted but not cheap.

Pros:

• Widely accepted overseas

• Strong documentation

• Safe for large sums

Cons:

• High fees

• Paperwork-heavy

• Poor exchange rates

Anonymized case:
A language school teacher transferring tuition savings to Europe waited 8 business days and paid over ¥18,000 in total costs.

4. Online Banks (Sony Bank, Shinsei Bank)

Best for: Long-term residents with stable income
Typical cost: ¥2,000–¥4,000 + FX margin
Speed: 2–5 business days

Some Japanese online banks offer slightly better international transfer conditions.

Pros:

• Integrated with Japanese salary accounts

• Lower fees than megabanks

• English support (Sony Bank)

Cons:

• Account opening can be strict

• Still worse FX than fintech services

5. PayPal — Convenient but Not Cheap

Best for: Small, urgent transfers
Typical cost: 3%–4% hidden FX margin
Speed: Instant to 1 day

PayPal is easy but expensive if used frequently.

Pros:

• Very fast

• Simple setup

Cons:

• Poor exchange rates

• Fees not transparent

• Not ideal for large amounts

Cheapest Method Comparison (Realistic)

Common Mistakes Foreigners Make

• Choosing banks “because they are safe”

• Ignoring exchange rate losses

• Sending small amounts repeatedly

• Using PayPal for large transfers

• Not checking recipient-side fees

Legal & Tax Notes (Important)

• Large transfers may be reported automatically

• Some countries require declaration on receipt

• Sending your own savings is legal

• Always keep transfer records

Final Recommendation

For 90% of foreigners in Japan, Wise is the cheapest and most transparent option.
For Asia-specific remittance, SBI Remit is a strong second choice.

Traditional Japanese banks should be a last resort, not the default.

Related Posts:

• Best Credit Cards in Japan for Foreigners (2026 Guide)

• Why Foreigners Get Rejected for Credit Cards in Japan

Tools you can use for check:

• Do I Risk Visa Rejection?

• Can I Change Jobs on My Visa?

• Am I Close to Permanent Residency?

• Can I Apply for a Japanese Visa?

• Highly Skilled Professional (HSP) Points Calculator

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