Opening a bank account in Japan: residence status, documents, limits

FSA and Bank of Japan: who oversees Japanese banks

Opening a bank account in Japan requires, in practice, living there with a residence card and a registered local address, because Japanese banks accept very few non-resident clients despite a sound banking system. The Financial Services Agency licenses and supervises banks while the Bank of Japan runs monetary policy and the wholesale settlement system, and megabanks, regional banks, Japan Post Bank and online banks all operate under this dual oversight.

Licensing and supervision of banks fall to the Financial Services Agency, while the Bank of Japan runs monetary policy and operates the wholesale settlement system. Megabanks, regional banks, Japan Post Bank and online banks all operate under this dual oversight.

The six-month rule separating residents from non-residents

Under Japan’s foreign exchange law, a foreign national is generally treated as a non-resident during the first six months in the country. Many banks then restrict outward transfers or decline to open an account, which mainly affects newcomers.

Residence card, registered address and My Number for a yen account in Japan

Branches almost always ask for the residence card (zairyu card) showing an address registered at the city office, a Japanese phone number and often the My Number individual number. A passport with a tourist visa alone is generally not enough.

The inkan seal, still required at some branches

A registered personal seal, or inkan, is still requested by some traditional banks for signing the opening forms and counter withdrawals. Several institutions now accept a handwritten signature from foreign clients, but it is worth checking before the appointment.

DICJ protection: 10 million yen per depositor per bank

The Deposit Insurance Corporation of Japan covers up to 10 million yen of principal per depositor per bank, plus interest. Non-interest-bearing settlement deposits are fully protected, but deposits in foreign currencies fall outside the guarantee.

The Zengin network for furikomi yen transfers

Domestic transfers, known as furikomi, run through the Zengin system and often arrive the same day between Japanese banks. Transfers to a euro account go through SWIFT instead, with sending fees, intermediary bank charges and an exchange margin on the yen.

Opening a Japanese bank account with a megabank such as MUFG Bank

At MUFG Bank, as at the other megabanks, an account is generally opened in a branch or through the app with a residence card, and questions about intended use are detailed. A recently arrived employee sometimes finds it easier through an arrangement negotiated by the employer.

Why an account opened from abroad remains exceptional

Without a Japanese address or residence status, opening an account from France is rarely possible with retail banks. The few exceptions involve wealthy clients, companies established in Japan or settlement accounts linked to a documented property purchase.

CRS, FATCA and Form 3916 for a French resident

Japan has applied the CRS standard since 2018 and has a FATCA agreement with the United States. A French tax resident who keeps a Japanese account after returning home must report it every year on Form 3916, regardless of what the bank exchanges automatically.

Closing or converting the account before leaving Japan

Before leaving for good, the bank must be told about the change of residence: the account is either closed or converted into a non-resident account with restricted services. Keeping an account active under an outdated Japanese address risks having transactions frozen.

Steps to open a bank account in Japan

The most common route starts with settling in Japan: obtaining the residence card, declaring your address at the city office, then choosing a bank. Many newcomers benefit from help from their employer, university or housing agency, who know the institutions used to welcoming foreign customers.

Once the bank is chosen, book an appointment or use the app if it allows, and present the requested documents. The bank asks questions about the use of the account, your activity and the planned length of your stay. The answers must match your documents, because the institution compares them before accepting your application. A Japanese bank account is therefore opened on the basis of concrete evidence.

After opening, the ATM card and access codes often arrive separately, sometimes by post to the declared address. Check that the address on your residence card is correct and up to date. In practice timing depends on the bank and on the complexity of your file, and no institution guarantees an opening.

Documents and checks before requesting a yen account

Gather before the appointment the residence card, passport, Japanese phone number, My Number and, if the bank requires it, the personal seal known as inkan. Some branches accept a handwritten signature for foreigners, but the rule can vary from branch to branch. It is better to ask before you travel.

Also prepare information on your situation: employer or school, length of the residence status, workplace and reason for opening. These items let the bank assess risk and decide whether it can take you on. A residence status that expires soon can lead to a refusal or a delayed opening. These points often decide access to a yen bank account in Japan.

If you expect to receive or send large sums, collect the matching evidence: employment contract, invoice, sale deed or employer's letter. The bank may ask for it to understand the origin of funds. A clear, documented explanation avoids blockages at the first international transfers.

Common mistakes with a Japanese bank account

The first mistake is to try to open an account from abroad with no address or resident status. Retail banks very rarely accept this kind of request, and the exceptions concern particular, documented situations backed by an institution. It is better to prepare your arrival in Japan than to multiply steps that will not succeed.

The second mistake is to ignore the rule of the first six months. During that period a foreigner is in principle treated as a non-resident under the foreign exchange law, which can limit transfers abroad. Plan alternative payment methods for your first months on the spot. Cost and conditions matter when choosing a bank in Japan.

Finally, many customers forget about deposit protection and the limits of their holdings. Cover applies per depositor and per bank, and foreign currency deposits fall outside it. If your savings exceed the cover, spread them across several institutions or seek advice before concentrating your funds.

Questions for your bank in Japan and what to declare

Before signing, ask the bank which conditions apply to your status, what fees are charged on withdrawals and transfers, and whether online services are offered in a language you understand. Also ask what happens if you leave Japan, because the account may be closed or converted.

Ask about transfers to your home country: whether the My Number is requested, intermediary bank charges, the exchange margin and the usual timing. Licensed transfer services sometimes apply lower margins, but they have their own conditions. Compare the total cost on a worked example before adopting a lasting solution. Treat every bank account in Japan as a long-term commitment.

On tax, remember that Japan exchanges information with other countries under the CRS standard. A French tax resident declares their Japanese account every year, even though the bank already passes on data. Keep annual statements and, if in doubt, check with the bank and the tax authority.