Reccomended banks for foreigners in Japan
September 13, 2011 9:34 PM Subscribe
Which bank is the most recommended for foreigners in Japan? I am interested in information about issuing a credit card for foreigners, interest on savings, international money transfer rates, and other commission rates. I'm considering using one of the web-only banks (新生、楽天、セブン、etc). Is there any risk involved (e.g., if they go bankrupt)?
If you're looking for a Japanese credit card, you're going to have several hurdles to jump through. The first one is your visa status. If you have permanent residence, you're pretty much okay. Other than that, your work status, and the company you work for has a lot to do with it. How your job title is classified can prevent you from being approved. As an example, a friend worked for Interac (poor bastard) and was essentially classified as a temporary worker (I forget the actual Japanese term). Because his own company didn't expect to keep him for very long, banks were unwilling to grant him a credit card. I was a full-time employee of a university under a spouse visa, and was still only able to get a card from my wife's employer, mostly because my wife was a full-time employee of the company.
In short, Japanese credit cards aren't easy to come by unless you're a permanent resident.
In the course of working here, I've had accounts set up by several different employers (many companies want employees to have accounts at the same bank to reduce transfer fees. One company actually told me I'd have to pay my own transfer fees unless I opened an account at the same branch they use). Of all the accounts I've had, I've really only kept using my Sumitomo Mitusi account, though honestly, I couldn't tell you why. If I recall correctly, they almost went under a few years ago.
For overseas remittance, Lloyds and another service were cheaper than pretty much all Japanese banks. Also, you can get postal money orders and physically send them (pain in the ass) from any Japanese post office, for roughly 2,000 yen. Japanese banks will gouge you on money transfers (I've paid up to 800 yen on domestic account to account transfers).
posted by Ghidorah at 10:48 PM on September 13, 2011
In short, Japanese credit cards aren't easy to come by unless you're a permanent resident.
In the course of working here, I've had accounts set up by several different employers (many companies want employees to have accounts at the same bank to reduce transfer fees. One company actually told me I'd have to pay my own transfer fees unless I opened an account at the same branch they use). Of all the accounts I've had, I've really only kept using my Sumitomo Mitusi account, though honestly, I couldn't tell you why. If I recall correctly, they almost went under a few years ago.
For overseas remittance, Lloyds and another service were cheaper than pretty much all Japanese banks. Also, you can get postal money orders and physically send them (pain in the ass) from any Japanese post office, for roughly 2,000 yen. Japanese banks will gouge you on money transfers (I've paid up to 800 yen on domestic account to account transfers).
posted by Ghidorah at 10:48 PM on September 13, 2011
To supplement my reply to Ghidorah's comment on credit cards. I was on an Engineer (3 year) Visa when I got my credit card. However, I did bring the letter from work showing I had employment and my monthly salary. I had no issue then. Also be aware that many Japanese Bank's Credit Cards only work in Japan. Make sure to get an International one.
posted by lundman at 12:09 AM on September 14, 2011
posted by lundman at 12:09 AM on September 14, 2011
If you're going to be in any of the more rural areas of Japan, the big banks like UFJ and Mizuho may not be particularly convenient for you. Where I lived there was exactly one bank/ATM (or none) for these Tokyo-based banks, and I wasn't even living in that rural of an area.
I personally had two bank accounts: one with a local bank, and one with the post office. The post office one was great because I could withdraw money at practically any time in practically any city in the country. I think they have some sort of internet banking (in Japanese) nowadays, but I didn't realize that until shortly before I left. I never missed having internet banking, as I did all of my purchasing in cash. My bank book kept me up-to date with the amount of cash in my accounts. I transferred money from one to the other by withdrawing cash (sometimes more than 100000 yen worth at a time), and then immediately depositing it into the other. I had a location where the ATMs were in the same little ATM area, so it was no problem. The post office also allowed for the easiest transfer of money in my case, to a Swiss postal account, for a flat fee of 2500 yen and a relatively reasonable exchange rate. Some direct deposit things don't like postal accounts, I've heard. Post office ATMs almost always have an English language option, as well.
I got turned down for a credit card with my bank even with a 3-year Engineer Visa, good income, and a reasonably large amount of money in my bank account. However, the only time I really needed a credit card was when I was buying airplane tickets, and even then I also sometimes went to the travel agency and could pay with cash or bank transfer. Amazon allows bank transfers, as do most of the online shopping sites that cater to Japan. Many stores in Japan do not allow you to pay with credit cards, as well.
Interest is pathetic at all banks I have seen in Japan. Like .1% or so.
posted by that girl at 12:40 AM on September 14, 2011 [2 favorites]
I personally had two bank accounts: one with a local bank, and one with the post office. The post office one was great because I could withdraw money at practically any time in practically any city in the country. I think they have some sort of internet banking (in Japanese) nowadays, but I didn't realize that until shortly before I left. I never missed having internet banking, as I did all of my purchasing in cash. My bank book kept me up-to date with the amount of cash in my accounts. I transferred money from one to the other by withdrawing cash (sometimes more than 100000 yen worth at a time), and then immediately depositing it into the other. I had a location where the ATMs were in the same little ATM area, so it was no problem. The post office also allowed for the easiest transfer of money in my case, to a Swiss postal account, for a flat fee of 2500 yen and a relatively reasonable exchange rate. Some direct deposit things don't like postal accounts, I've heard. Post office ATMs almost always have an English language option, as well.
I got turned down for a credit card with my bank even with a 3-year Engineer Visa, good income, and a reasonably large amount of money in my bank account. However, the only time I really needed a credit card was when I was buying airplane tickets, and even then I also sometimes went to the travel agency and could pay with cash or bank transfer. Amazon allows bank transfers, as do most of the online shopping sites that cater to Japan. Many stores in Japan do not allow you to pay with credit cards, as well.
Interest is pathetic at all banks I have seen in Japan. Like .1% or so.
posted by that girl at 12:40 AM on September 14, 2011 [2 favorites]
Just a note on internet-only: I went with the Sony Bank (ソニー銀行） and wanted to mention a couple things that frustrated me:
- no international money transfers. getting my savings out of Japan meant withdrawing it all in cash and taking it to another bank for wire transfer.
- 7-11 ATMs only, and this is how I learned that there are no 7-11s in Okinawa.
- no English language web interface, and most of the JP interface was done in images or flash. Equally with phone support, there are scripts using lots of formal expressions and vocabulary, with customer service which does not want to/cannot deviate from those scripts.
Overall I was happy with them and avoided some of the fees and other limitations that are common in Japan's conventional banks, but these were notable drawbacks.
No personal advice on credit cards but I second the "gotta be a permanent resident" comment above.
posted by whatzit at 2:58 AM on September 14, 2011
- no international money transfers. getting my savings out of Japan meant withdrawing it all in cash and taking it to another bank for wire transfer.
- 7-11 ATMs only, and this is how I learned that there are no 7-11s in Okinawa.
- no English language web interface, and most of the JP interface was done in images or flash. Equally with phone support, there are scripts using lots of formal expressions and vocabulary, with customer service which does not want to/cannot deviate from those scripts.
Overall I was happy with them and avoided some of the fees and other limitations that are common in Japan's conventional banks, but these were notable drawbacks.
No personal advice on credit cards but I second the "gotta be a permanent resident" comment above.
posted by whatzit at 2:58 AM on September 14, 2011
FWIW: GF is living in Japan, has a work visa, is working with other foreigners. AFAIK their employer helped them all sign up for SMBC bank. Seems to work.
posted by krilli at 7:03 AM on September 14, 2011
posted by krilli at 7:03 AM on September 14, 2011
I actually didn't have much difficulty getting a credit card from my regular bank here in Fukui (Fukui Bank, as it turns out). Granted, my visa is classified as "INSTRUCTOR" and I've lived here for a couple of years.
On the other hand, the secret trick appeared to have been, on the credit card application, writing a specific custom maximum for cash advance (キャッシング) of ¥0. The guy at the bank called the credit card issuer when I asked, out of curiosity, how long the application process would take, and the guy on the other end told him this was crucial to be able to issue a credit card to a foreigner.
So yeah, that's my experience.
posted by DoctorFedora at 11:09 PM on September 14, 2011
On the other hand, the secret trick appeared to have been, on the credit card application, writing a specific custom maximum for cash advance (キャッシング) of ¥0. The guy at the bank called the credit card issuer when I asked, out of curiosity, how long the application process would take, and the guy on the other end told him this was crucial to be able to issue a credit card to a foreigner.
So yeah, that's my experience.
posted by DoctorFedora at 11:09 PM on September 14, 2011
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I have Mizuho, very Japanese, and not at all flexible. I don't think I would recommend them.
I use UFJ, with Internet service, which I guess is a little bit more flexible, would be ok.
International Credit Card I got from UC Cards. Pretty good service here, when I call, I ask for English and have been able to do everything I needed. Normally, I have had no issues with this CC overseas, but in Europe this summer, about 50% of the places seemed to have "cheaper CC clearance service" and would not accept it. (Take cash out of nearby ATM with same CC to pay, worked).
Sending money overseas is expensive with all banks. 8,000yen at Mizuho last I tried, 2,000 yen with UFJ. In the end, I simply opened paypal accounts in both countries connected to respective banks, and send money that way. Paypal's charge was less than UFJs and Lloyds remittance service.
I do have an ebank account somewhere (forced to sign up with work) but have never used it.
As for setting up banks, if you have your gaijin card and passport, it was a matter of about 2 hours to get it all sorted. Not really so bad.
posted by lundman at 10:23 PM on September 13, 2011