About James Kirwin Expertise Lived 5 years in Japan, Kansai area (Kyoto-Nara-Osaka). Returned to USA where I had a nasty bout of reverse culture shock. Have gone through all stages of the Gaijin-in-Japan Syndrome.
Will answer all questions regarding Japan, its culture, history and people.
Experience
Past/Present clients Passed the USA Foreign Service written exam, but failed in the interview process.
I have a question regarding credit cards and travellers cheques. For my vacation to Japan I can (a) take all cash in Yen, (b) take some travellers cheques in either dollars, but preferably Yen, or (c) take only a little cash to be "safe", and use my American Express card for purchases, ad hoc items, day-trip tours not part of my tour package, etc.
So what should I do? I know Japan is indeed largely cash-based, but surely the AMEX card counts for something, right? And if not, then will they accept Yen-denominated travellers cheques?
Thanks for your continued help and advice.
Answer Gary
Take travellers cheques denominated in dollars. You will get better exchange rates in Japan than you will overseas. The difference I saw once was about 20%! As for AMEX and credit cards in general, in Japan they can only be used at large institutions that handle lots of transactions with foreigners. When you see a VISA sign outside a shop, chances are yours won't work because the credit card system in Japan is separate from the worldwide network - so your card isn't going to work. BTW, I don't recall ever seeing an AMEX sign, though their travellers cheques are fine.
Here's what you do:
Exchange a small amount (US$100 or so) to yen at the airport before you go or at a large bank and after you have put everything else into dollar denominated travellers cheques. This will give you the spending money you need on your first night in Japan. The next day go to a large bank (Sanwa, Dai-ichi, Tokyo-Mitsubishi...) and change some travellers cheques to Yen - enough for a few days. Then pay for everything that you can with cash. It will feel strange walking around with several "man" (about $80 US = 10,000 yen) on you, but Japan is a "safety country"...
You can then use your foreign credit card at your hotel (if they take it) or at large department stores. Keep in mind too that you can also use it for cash advances. These actually give you the best exchange rates because they are based on the exact dollar/yen rate - the bank making money from the credit card transaction fee.
Get or bring a Visa card. I have yet to figure out why people pay money for AMEX - but I've had this argument several times with a coworker of mine who swears by the card so we needn't debate it here. For Japan, VISA is better but honestly, nothing beats cash there.
