ATMs in Japan

So now that my three weeks in Japan is nearly complete, we managed to run out of cash. That was even largely *before* going to Kyoto and Nara. We took advantage of the better selection of food and clothes here to get some much needed clothing (I needed new jeans badly, bought 2) and enjoy food we couldn’t enjoy much in Seattle. But Japan’s cost of living, along with its quality of living, is much higher, so we’ve used up most of our cash.

Now, before leaving, I expected this might happen, so I was confident that we could tap into our reserves back in the US, but realized too late that this is not necessarily the case. When I first moved to Ireland, I had to use my US debit card to withdraw money a lot until I had an Irish bank account, and Irish income, but that was not an issue. Put in the card, type the PIN, and it withdraws cash in Euros, not dollars, for an extra fee (which did pile up after a while). Sadly, Japan as I learned is not necessarily the case.

Japanese culture is primarily a cash-culture, so many transactions including car payments and such are done via cash. I know from experience that C.O.D. (cash on delivery) is still a very common means for buying things online, as it is with the People’s Republic of China. Given the recent problems of online-fraud, I actually wish they’d reintroduce this back in the US for online purchases and such. Anyway, credit cards exist, but are not widely used. Even when they are accepted, such as in ATMs, usually it’s the Japanese-only cards (e.g. JCB).

Also, ATMs are installed inside banks usually, and only accessible during banking hours. This does make things more safe (no late-night robberies), but also means you have to get your cash before the bank closes.

So, if you’re a foreign traveller and you need to get more cash, you have to find an ATM that will accept foreign cards, and get there at a time when it’s open. In the past, this was not trivial, but recently things have changed.

The convenience-store chain, 7-Eleven, has changed its ATMs to allow all major cards since July 2007. Unfortunately, the only card they don’t allow is Mastercard for some reason, and sadly my bank card has the Mastercard logo, so when I tried yesterday, it still failed. I was able to use my American Express card though with much better success, and with a limit of ¥50000 (roughly $500). The good news is that 7-Eleven is open 24-hours, and very easy to find, so this is your best bet unless you have Mastercard. While you’re at it, make sure to buy something there and show your support for their progressive thinking. The best way to influence business is through their wallet, so show other businesses in Japan that we want more ATM services like this.

The other option, which my friend John showed me recently was to use Japan Post ATMs. These do take Mastercard cards, but are inside the Post Office, which has limited hours, and the limit of withdraw at least at Ueno Station was ¥10000, which is enough for a day maybe. Japan Post is kind of like a bank, as well as a postal service, not unlike the An Post company I remember back in Ireland. Such services don’t exist in the US however, so I was a bit surprised at first.

So, that’s what I learned so far. We’ve managed to solve our situation lately, so we’ll be OK for the next couple of days, but I wanted to share my experiences with other Japan travelers and new residents before it’s too late. Japan is fun, but be frugal if you can. Otherwise, plan for a means of getting more cash.

Update: As of December 2010, I am happy to confirm that foreign cards do work at 7-Eleven stores. A while back, I switched my debit card from Mastercard to Visa, since Mastercards don’t work as described above, and had much better luck. 7-Eleven ATMs also have English menu options, which work well enough. This has been a big help.

P.S. I also noticed that at least some ATMs by other banks, namely Shinsei Bank (新生銀行) in Yokohama from my experience, accept foreign cards and have reasonable withdrawl limits.