Currency exchange cost comparison: What's the most cost-effective way to exchange TWD to JPY? How much TWD is 500 JPY?

Understand the Exchange Rate First: How Much Is 500 Yen in TWD?

As of December 10, 2025, the exchange rate for TWD to JPY is approximately 4.85. In other words, 1 TWD can be exchanged for 4.85 JPY. Conversely, 500 JPY is roughly equal to about 103 TWD (500 ÷ 4.85 ≈ 103).

But this is just the base rate. The actual amount of JPY you receive will vary depending on the exchange method you choose, fees, and the type of exchange rate—some may pay 500 TWD more, others may save 800 TWD. The difference lies in choosing the right method.

Why Do Taiwanese People Want to Exchange for JPY?

Besides travel and shopping, the Japanese Yen is one of the world’s three major safe-haven currencies (the other two are USD and Swiss Franc). During the Russia-Ukraine conflict in 2022, the Yen appreciated by 8% in one week, successfully helping holders hedge against stock market declines.

For Taiwanese investors, with the TWD facing increasing depreciation pressure, exchanging some JPY not only facilitates international travel but also serves as a hedging tool. Plus, the Bank of Japan recently signaled a rate hike (expected to increase by 0.25 basis points to 0.75% in December), and the deposit interest rate for JPY has risen to 1.5-1.8% annually, making it an attractive savings option.

4 Ways to Exchange JPY, with Different Costs and Convenience

Method 1: Bank Counter Cash Exchange — The Most Traditional but Most Expensive

Bring cash TWD to a bank or airport counter for immediate JPY cash exchange. The process is simple, but the fees are not—banks use the “cash selling rate,” which is 1-2% worse than the market rate.

For example, Taiwan Bank’s rate for 4.85 TWD per JPY is about 4.83 for cash selling rate, meaning you need to pay more TWD to get the same amount of JPY. Some banks also charge an additional fee of 100-200 TWD, so exchanging 50,000 TWD costs about 1,500-2,000 TWD.

Suitable for: Urgent small amounts, quick cash needs, or those unfamiliar with online transactions.

Method 2: Online Exchange then Pickup at Counter — A Cost-Effective Solution, 30% Cheaper

Use a bank app or website to convert TWD to JPY at the “spot selling rate” (about 1% better rate), depositing into a foreign currency account. When cash is needed, go to the counter or foreign currency ATM to withdraw. Although it involves an extra step, the overall cost drops to 500-1,000 TWD.

The downside is you need to open a foreign currency account in advance, and withdrawing cash incurs a currency conversion fee (minimum 100 TWD). If you frequently deal with foreign currencies, opening this account is worthwhile.

Suitable for: Investors with experience, planning to exchange in installments, or interested in JPY fixed deposits.

Method 3: Online Booking for Airport Pickup — The Easiest for Travelers Before Departure

No need to open a foreign currency account first. Simply fill in the exchange amount and select a pickup branch (usually at the airport) on the bank’s website. The bank completes the transfer, and you can pick up cash with your ID and transaction notification. Taiwan Bank’s “Easy Purchase” service even waives the fee (pay only 10 TWD via TaiwanPay), with a 0.5% exchange rate advantage.

The biggest advantage is the ability to reserve at Taoyuan Airport’s Taiwan Bank branches (14 branches total, 2 open 24 hours), saving time from last-minute bank visits. Cost for exchange is about 300-800 TWD.

The downside is you need to make a reservation at least 1-3 days in advance, and cash pickup is only available during bank hours.

Suitable for: Travelers with clear plans who want to withdraw cash directly at the airport.

Method 4: Foreign Currency ATM Instant Withdrawal — The Most Flexible but Limited Locations

Use a chip-enabled financial card at foreign currency ATMs to withdraw JPY cash directly. Supports 24-hour operation, with a cross-bank fee of only 5 TWD. The E.SUN Bank foreign currency ATM has a daily withdrawal limit of 150,000 TWD, with no additional exchange fees.

However, there are only about 200 foreign currency ATMs nationwide, and during peak times (especially at airports), cash may be insufficient. This method is best for urgent, last-minute needs when you can’t visit a bank.

Suitable for: Emergency needs, close to an ATM, or unable to visit a counter.

Transparent Comparison of Bank Exchange Rates and Costs

Based on exchanging 50,000 TWD, December 2025 data:

Is Now a Good Time to Exchange JPY? A Smarter Strategy Is to Do It in Batches

In early 2025, the TWD to JPY rate was 4.46. Now it has risen to 4.85, an appreciation of about 8.7%. For those wanting to exchange JPY, this indicates a decent profit from currency conversion. But there are risks—short-term fluctuations of 2-5% due to arbitrage unwinding.

The smartest approach is batching the exchange. Set target rates (e.g., 4.80, 4.85, 4.90) and exchange in 3-4 installments. This minimizes the average cost, avoiding the regret of a sudden rate drop after a full exchange, while riding the long-term appreciation trend.

Also, keep an eye on the Bank of Japan’s moves: rate hikes usually strengthen the Yen, but during global stock market crashes, unwinding positions can accelerate, so staying updated on news is crucial.

After Exchanging JPY, How to Grow Your Money Instead of Letting It Lie Idle?

Once you have JPY, don’t leave it sitting without earning interest. Here are some options:

JPY Fixed Deposit — The safest, with annual interest rates of 1.5-1.8%, starting from 10,000 JPY.

JPY Insurance Policies — Savings insurance from companies like Taiwan Life or Fubon, with guaranteed rates of 2-3%, suitable for medium-term holding.

JPY ETFs — For example, Yuanta 00675U, tracking the Yen index, can be bought in fractional shares via broker apps, suitable for periodic investment.

Forex Swing Trading — Trading JPY against USD or EUR based on exchange rate fluctuations, with both long and short positions, but higher risk.

Among these, JPY ETFs have a management fee of only 0.4% annually, making them suitable for risk diversification without too much complexity.

Quick FAQs

Q. What’s the difference between cash exchange rate and spot rate?

Cash exchange rate is the bank’s buy/sell price for physical banknotes, allowing immediate cash pickup but with a 1-2% difference from the market rate. Spot rate is used for electronic transfers, closer to the international market price, but settlement takes 2 business days.

Q. What documents are needed for exchange?

For locals: ID card + passport. For foreigners: passport + residence permit. If booked online in advance, bring transaction notification. Under 20 requires a parent’s accompaniment. Large exchanges (over 100,000 TWD) may require a source of funds declaration.

Q. Are there withdrawal limits at foreign currency ATMs?

Yes. After 2025 regulations, many banks have set daily limits of 100,000-150,000 TWD for their cards, and single transaction limits of 20,000-50,000 TWD for other banks. It’s recommended to split withdrawals or use your own bank card to avoid cross-bank fees.

Summary

The Yen is no longer just for travel pocket money but also a hedge and investment asset. Whether you plan to visit Tokyo next year or want to hedge against TWD depreciation, following the principles of batch exchange and full allocation after exchange can minimize costs.

For beginners, starting with “Taiwan Bank online booking + airport pickup” or “foreign currency ATM” is recommended. As you become more familiar, you can advance to fixed deposits, ETFs, or swing trading. This way, you can enjoy exchange benefits and add a layer of protection during global market fluctuations.