NTD to JPY vs HKD, what's the best way to exchange in 2025?

In December 2025, the NT dollar has appreciated to 4.85 against the Japanese Yen, while remaining around 3.9 against the Hong Kong dollar. Many people are conflicted: should they exchange for Yen or HKD? Actually, the key isn’t which currency to choose, but how to choose the right currency exchange channel. The same NT$50,000 exchanged through different methods can result in a loss difference of over NT$1,500—without even considering subsequent financial planning. Today, we’ll break down the underlying logic of currency exchange with real examples.

Hidden Differences in NT$ Exchange Costs

Bank counter exchange and online remittance may seem to differ by only 1-2% in exchange rates, but the actual amount lost can be astonishing.

For NT$50,000:

• Counter cash exchange: Rate 0.2060 (1 Yen), loss about NT$1,500-2,000
• Online remittance: Favorable rate 0.5% better, loss only NT$300-800
• Foreign currency ATM: Instant withdrawal but fixed denominations, loss NT$800-1,200

Where does the difference come from? Banks’ “cash selling exchange rate” is about 2% higher than the international market price—this is a risk premium. But if you use online remittance or foreign currency ATMs, you can approach the “spot exchange rate” (T+2 settlement), reducing costs immediately.

The same principle applies to NT$ to HKD exchange—HKD counter rates also carry similar cash premiums.

Four Practical Currency Exchange Methods Compared

Method 1: Bank Counter (Traditional but Most Expensive)

Carry NT$ into a bank or airport and exchange cash on the spot. Simple but costly.

Who is it suitable for: Those only exchanging NT$1-2万 for emergencies, distrustful of online operations.

Cost estimate (NT$50,000): Loss NT$1,500-2,000

December 2025 cash selling rates from various banks:

• Taiwan Bank: 0.2060 Yen/NT$ (no fee)
• Mega Bank: 0.2062 Yen/NT$ (no fee)
• E.SUN Bank: 0.2067 Yen/NT$ (NT$100 fee)
• Taipei Fubon: 0.2069 Yen/NT$ (NT$100 fee)

Method 2: Online Remittance + Counter Pickup (Flexible but with Thresholds)

Use bank app to convert NT$ to Yen in a foreign currency account, enjoying near-market “spot rate” (about 1% better). When cash is needed, pick it up at the counter, with additional exchange margin fee.

The core advantage is you can operate in batches—exchange more when rates are low, less when high.

Who is it suitable for: Frequent foreign currency account users, willing to monitor rates.

Cost estimate (NT$50,000): Loss NT$500-1,000

Advanced tip: After online remittance, don’t rush to withdraw cash. Keep funds in the foreign currency account earning fixed deposit interest (annual 1.5-1.8%), then withdraw later. This spreads out the exchange loss and earns interest.

Method 3: Online Remittance + Airport Pickup (Best Travel Solution)

No need for a foreign currency account. Fill in amount, currency, designated pickup branch and date on the bank’s website, then bring ID and transaction notice to pick up at the counter. Taiwan Bank’s “Easy Purchase” service and Mega Bank offer this.

Feature: You can reserve airport branch pickup—order online the day before departure, then go directly to Taoyuan Airport Taiwan Bank counter the next day, and get cash in 5 minutes.

Who is it suitable for: Travelers with well-planned schedules, departing 3-7 days in advance.

Cost estimate (NT$50,000): Loss NT$300-800

Exchange rate advantage: Cheaper than counter, often no handling fee (Taiwan Bank with Taiwan Pay costs NT$10).

Method 4: 24-Hour Foreign Currency ATM (Emergency First Choice)

Use a bank card at a foreign currency ATM to withdraw Yen, available 24/7. Deducted directly from NT$ account, cross-bank fee NT$5.

Disadvantage: fixed denominations (1,000, 5,000, 10,000 Yen), limited locations (~200 nationwide). During peak times, cash often runs out.

Who is it suitable for: Last-minute needs, no time to visit banks.

Cost estimate (NT$50,000): Loss NT$800-1,200

New regulation reminder: From October 2025, many banks will lower withdrawal limits. For example, E.SUN Bank’s daily limit is NT$150,000; CTBC Bank’s is NT$120,000. For large exchanges, consider multiple transactions or prioritize online remittance.

When is the best time to exchange?

The key isn’t “when the rate is lowest,” but “your planned departure time.”

In 2025, NT$ to Yen has risen from 4.46 at the start of the year to 4.85 now, an 8.7% appreciation. Compared to HKD, which is more stable, Yen fluctuates more, with potential short-term swings of 2-5%.

The Bank of Japan is expected to raise interest rates to 0.75% in December, supporting the Yen. Meanwhile, the Fed’s rate hike pace slows, and the US dollar remains strong. In the short term, USD/JPY may fluctuate around 154-155, with a medium-long-term forecast below 150.

Practical advice:

1. For travel: Decide after planning your trip, don’t gamble on rates. Use online remittance + airport pickup for lowest cost and convenience.
2. For investment: Exchange in 3-4 installments, spaced 1-2 weeks apart. This spreads risk and captures potential appreciation.
3. HKD comparison: If considering both NT$ to HKD and NT$ to Yen, HKD is more stable but with less upside; Yen is more hedging-oriented, suitable for asset allocation.

After exchanging Yen, don’t let your money sit idle

Options for deploying Yen holdings:

Conservative—Yen Fixed Deposit Open a foreign currency account online, deposit starting from 10,000 Yen, with annual interest 1.5-1.8%. Suitable for idle funds for 3-6 months.

Mid-term—Yen Savings Insurance Buy savings insurance with guaranteed interest rates of 2-3%, 6-10 years term, locking in returns. Cathay, Fubon Life offer related products.

Growth—Yen ETFs Yuanta 00675U tracks Yen index, management fee 0.4%, can buy fractional shares via broker for regular investment. Suitable for those optimistic about Yen appreciation in medium-long term.

Swing Trading—Forex Trading Trade USD/JPY or EUR/JPY directly on forex platforms, 24/7 buy/sell, with small capital. Use expectations of BOJ rate hikes or global arbitrage to capture 2-5% volatility gains.

Quick FAQs

Q: What’s the difference between cash rate and spot rate? Cash rate is the bank’s quote for physical cash, usually 1-2% higher than market price; spot rate is the interbank trading price (T+2 settlement), closer to international market. When exchanging Yen, the latter is much cheaper.

Q: Limits for foreign currency ATM withdrawals?

• CTBC Bank: NT$120,000 per transaction and per day
• Taishin Bank: NT$150,000 per transaction and per day
• E.SUN Bank: NT$50,000 per transaction, NT$150,000 per day

Exceeding limits or using other banks’ cards, consider multiple withdrawals to avoid last-minute issues at the airport.

Q: How much Yen can NT$10,000 buy? At December 2025 cash selling rate 4.85, NT$10,000 ≈ 48,500 Yen. Using spot rate (~4.87), about 48,700 Yen—difference around 200 Yen.

Q: What to bring for counter exchange? ID + passport; minors need parental consent; amounts over NT$100,000 may require source declaration. Pre-book online and bring transaction notice if applicable.

Summary: The logic of Yen exchange decisions

Yen is no longer just for travel pocket money but also a hedging and small investment asset. Cost differences are often overlooked, but exchanging NT$50,000 via different channels can lead to over NT$1,200 in losses.

Two core principles:

1. Choose the right channel: Online remittance > online exchange > foreign currency ATM > counter cash
2. Don’t let your money sit idle after exchange: Invest in fixed deposits, ETFs, or forex trading to let Yen appreciate further

Whether for next year’s Japan trip or hedging NT$ depreciation, mastering this logic helps minimize costs and maximize returns. Next time, don’t blindly run to the bank.