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How to hold yen when moving out of Japan ​

I am just a nerd on the internet, not a financial advisor, so please do your own research before making any financial decisions.
This is just a write-up of a possible strategy for holding yen when moving out of Japan.

Want to keep some yen as cash? ​

Desire: Keep some yen as cash for the next two years.

  • Example: 4 million JPY (≈ 27,714 USD) in cash.

Assumptions:

  • You have savings in a traditional bank account that can cover 6 months of expenses.
  • You believe the yen will strengthen against the dollar over the next two years.

Solution: Split the cash into two equal portions and store them in Wise and Revolut accounts.

  • 2 million JPY (≈ 13,857 USD) in each account.
  • By splitting the funds, you reduce risk if one platform has issues. They are not directly insured by the FDIC nor strictly regulated like traditional banks, but they are generally considered safe enough for holding money.
  • While similar, Wise and Revolut have different features, support for currencies, and fee structures, so using both gives you flexibility.

Why use Wise and Revolut? ​

Both Wise and Revolut are popular fintech (financial technology) platforms that offer low-cost currency exchange and multi-currency accounts. Here are some key benefits:

  • Competitive exchange rates - often much better than traditional banks.
  • Global access - convert your yen into USD or dozens of other currencies at the click of a button.
  • User-friendly apps - set alerts, track rates, and move money in seconds.

Why use both Wise and Revolut? ​

I recommend splitting your cash between Wise and Revolut for several reasons:

  • Risk diversification - if either Wise or Revolut faces technical issues, half your cash remains accessible.
  • Practical limits - easier to avoid withdrawal caps or large-balance review flags.
  • Different features - Wise offers more currency support, but Revolut often has better exchange rates.
  • Promotional offers - both platforms occasionally run promotions like cash back bonuses or discounts at shops.

Pros ​

  • Easy to open and manage - fully digital, with sleek mobile apps.
  • Competitive FX rates - often 0.5% to 1% better than major banks.
  • Multi-currency flexibility - convert between JPY, USD, KRW, and more.
  • Regulated partners
    • Revolut's Savings Vaults are held at Sutton Bank (Member FDIC).
    • Wise's U.S. deposits are with JPMorgan Chase.

Cons ​

  • No direct FDIC insurance - funds are held in pooled accounts and managed by the fintechs and stored in partner banks.
  • Opportunity cost - you are not earning interest and inflation erodes cash value.
    • Example: The 4 million JPY could earn 3.5% APY in a high-yield savings account, netting 750,800 JPY over five years.

Setting up Wise and Revolut from U.S. ​

While Wise and Revolut are fully available in Japan, since you are moving back to the U.S., you should open the accounts as an American resident.

  • Use a VPN - open the accounts from a U.S. IP address to avoid any location-based restrictions.
  • Input your U.S. address - both services will ask for proof of address. Avoid having to update it later by using your U.S. residence.
  • Fund your accounts - transfer the cash from your Japanese bank to each service.
    • Make sure to check which methods are supported and the fees involved.
    • Direct bank transfers are usually the cheapest option.
  • Set up rate alerts - both Wise and Revolut allow you to set notifications or even automate conversions when the USD/JPY rate hits your target.

Transferring back to the U.S.: use Charles Schwab ​

If you need to move yen into U.S. dollars, consider opening a Charles Schwab Bank High Yield Investor Checking account:

  • No foreign transaction fees
  • Competitive interest rate on USD balances
  • Seamless international wires - ideal when you want to repatriate funds

Opportunity cost: what if you want to invest? ​

If you do not believe the yen will strengthen significantly, you might want to consider investing some of your cash instead of holding it all in Wise and Revolut.

Putting it in a Roth IRA and investing in low-cost index funds can provide better long-term returns than cash sitting idle.

  • Historically, the S&P 500 delivers around 8% annualized.
  • Inflation-adjusted total return over the past five years (2020 to 2025): 9.85%.

A note from an economics enthusiast: locking in market returns can outpace inflation far better than cash sitting idle.

Another options ​

References ​