Let me save you some stress right up front: Japan is still a very cash-heavy country, but it is getting better with cards every year. The situation is not nearly as complicated as some travel blogs make it sound, and once you understand the basics, you will never have a moment of payment panic during your trip.
I have lived in Japan long enough to have watched the payment landscape change significantly. When I first arrived, it was cash for almost everything. Now, I use a mix of IC card, credit card, and cash, and I rarely think about it. Let me break down exactly what you need to know.
Cash: Still the Foundation
Despite being one of the most technologically advanced countries in the world, Japan runs on cash more than most visitors expect. Small restaurants, street food stalls, local buses in rural areas, some taxis, temple admission fees, and many small shops are cash-only. This is not because Japan is behind the times. It is a cultural preference rooted in trust, privacy, and the fact that the yen is one of the most stable currencies in the world with very low counterfeiting rates.
Here is my rule of thumb: always carry at least 10,000 to 20,000 yen in cash (roughly 65 to 130 USD at recent exchange rates, though check the current rate before your trip). That covers a full day of activities, meals, and transportation even if you cannot use a card anywhere.
Getting Cash: ATMs
The easiest and most reliable way to get Japanese yen is from an ATM using your home bank debit card. But not just any ATM. Most Japanese bank ATMs do not accept foreign cards. The ones that do are:
7-Eleven ATMs (Seven Bank): These are the gold standard for foreign visitors. Every 7-Eleven convenience store has an ATM that accepts Visa, Mastercard, Maestro, Cirrus, and many other international networks. The interface has an English option, the fees are reasonable (about 110 yen per transaction from Seven Bank, plus whatever your home bank charges), and 7-Elevens are literally everywhere. There are over 21,000 locations across Japan. This is your go-to.
Japan Post Bank ATMs: Found in post offices (look for the red “T” symbol with a horizontal bar), these also accept most foreign cards. Post offices are in every neighborhood, though they have more limited hours than convenience stores. Many close by 5 PM on weekdays and are closed on weekends, though some in larger branches have extended hours.
Lawson ATMs: The Lawson convenience store chain has been expanding its foreign card acceptance. Not all locations have compatible ATMs yet, but the number is growing. Look for the “International ATM” signage.
AEON ATMs: Found in AEON shopping malls across the country. Useful if you happen to be near one.
Withdrawal limits vary but are typically around 50,000 to 100,000 yen per transaction. I recommend withdrawing larger amounts less frequently to minimize transaction fees. Keep the cash in a secure wallet or money belt. Japan is incredibly safe, but there is no reason to be careless.
Currency Exchange
You can exchange currency at airports, banks, and money exchange shops. Narita and Haneda airports have exchange counters in the arrivals area, and the rates are decent enough for a small initial exchange. For larger amounts, shops in tourist areas like Shinjuku, Shibuya, and Osaka’s Namba often have competitive rates. Look for places advertising “zero commission.”
My advice: exchange a small amount at the airport (maybe 20,000 to 30,000 yen) to cover your first day, then use 7-Eleven ATMs for the rest of your trip. The ATM rate is almost always better than exchange counters.
Credit and Debit Cards: Growing but Not Universal
Card acceptance in Japan has improved dramatically in recent years, partly driven by the government’s push toward cashless payments ahead of the 2020 Olympics (which happened in 2021, but the infrastructure push was real).
Here is where you can generally use credit cards: hotels, department stores, large chain restaurants (like Gusto, Saizeriya, CoCo Ichibanya), major train stations, electronics stores (Bic Camera, Yodobashi Camera), convenience stores, and most shops in tourist areas. Visa and Mastercard have the widest acceptance. American Express works at many places but not as universally. Discover and Diners Club have limited acceptance.
Here is where you often cannot: small independent restaurants (especially ramen shops, soba shops, and local izakaya), shrines and temples, street food vendors, some taxis (especially in rural areas), small guesthouses, and many rural businesses. These are cash-only, and no amount of card-waving will change that.
A practical example from my own life: last week I had dinner at a small yakitori place in Shimokitazawa that has been open for 40 years. Cash only. The next morning I bought coffee at the Blue Bottle next door with my credit card. Then I paid cash for a bowl of ramen at a counter shop with eight seats. Then I used my credit card at the supermarket. This mix is totally normal in Japan, which is why you need both cash and cards.
Contactless Payments
Many credit cards now support contactless (tap-to-pay) transactions, and a growing number of Japanese shops accept them. Look for the contactless symbol (the radio wave icon) at the register. Visa Touch and Mastercard Contactless work at many convenience stores, chain restaurants, and larger retailers.
Apple Pay and Google Pay also work at many locations, but the setup can be slightly different in Japan. If your phone supports FeliCa (the NFC standard used in Japan), you can add a Suica or PASMO IC card directly to your phone’s wallet, which is incredibly convenient. More on that below.
IC Cards: The Secret Weapon
If there is one thing you do for payment convenience in Japan, it should be getting an IC card. These are rechargeable smart cards originally designed for train and bus fare but now accepted at an enormous range of shops, restaurants, convenience stores, and vending machines. They are fast, easy, and eliminate the need to fumble with coins for small purchases.
The two main IC cards are Suica (issued by JR East, used primarily in eastern Japan) and PASMO (issued by Tokyo-area private railways and metro). They work identically and are accepted nationwide. Other regional IC cards include ICOCA (Kansai), Kitaca (Hokkaido), TOICA (Central), and more. All of these are mutually compatible, so a Suica works in Osaka and an ICOCA works in Tokyo.
How to Get an IC Card
The situation with physical IC cards has changed in recent years due to a semiconductor shortage. As of recent times, physical Suica and PASMO cards can be difficult to find at train station machines (they are sometimes out of stock). However, here are your options:
Welcome Suica: Available at JR East Travel Service Centers at Narita Airport, Haneda Airport, and major Tokyo stations. These are designed for tourists, cost 1,000 yen (no deposit, fully usable), and are valid for 28 days. This is the easiest option if you are arriving in Tokyo.
Digital IC Card on iPhone: If you have an iPhone 8 or later, you can create a Suica or PASMO card directly in your Apple Wallet. Open the Wallet app, tap the “+” button, select “Transit Card,” and choose Suica or PASMO. You can charge it with a credit card right on your phone. This is what I use daily and it is fantastic. Just tap your phone at the ticket gate or payment terminal.
Digital IC Card on Android: Google Wallet supports Suica on compatible Android phones. The setup process is similar to iPhone.
ICOCA in Kansai: If you are starting your trip in Osaka or Kyoto, ICOCA cards are generally available from JR West ticket machines at stations like Shin-Osaka and Kyoto. They cost 2,000 yen (500 yen deposit plus 1,500 yen usable balance).
Charging Your IC Card
You can add money to your IC card at any train station ticket machine (look for the charge or “chokin” button), at convenience store registers (just tell the cashier “charge kudasai” and hand over the amount you want to add), or via credit card on the digital versions.
The maximum balance is 20,000 yen. I usually keep mine around 3,000 to 5,000 yen and top up as needed. Minimum charge amount is typically 1,000 yen at machines.
Where IC Cards Work
The short answer is: almost everywhere. Trains, buses, convenience stores, vending machines, coin lockers, many chain restaurants, some taxis, and an ever-growing list of retail shops. When you see a reader pad near the register with the IC card symbol (it looks like a stylized card), just tap and go. The payment is almost instant, and you hear a satisfying beep.
For trains specifically, IC cards eliminate the need to buy individual tickets. Just tap in at the entrance gate and tap out at the exit gate. The correct fare is automatically deducted. This alone saves an enormous amount of time compared to studying fare charts and buying paper tickets.
QR Code Payments
Japan has several QR code payment systems like PayPay, LINE Pay, and Rakuten Pay that are widely used by Japanese residents. As a visitor, PayPay is the most accessible option. You can download the app and link it to a credit card, though the setup process for foreign cards can be finicky. If you get it working, PayPay is accepted at a huge number of shops, including many small places that do not take credit cards.
Honestly, for a short visit, I would not stress about QR payments. Cash plus credit card plus IC card covers 99 percent of situations.
My Recommended Payment Setup for Visitors
Here is exactly what I tell friends before they visit:
1. Bring a Visa or Mastercard with no foreign transaction fees. Many travel credit cards offer this. Check with your bank before you leave.
2. Notify your bank that you are traveling to Japan so they do not freeze your card for suspicious foreign activity.
3. Withdraw 30,000 to 50,000 yen from a 7-Eleven ATM on your first day.
4. Get a Suica or PASMO card (physical or digital) and charge it with 3,000 to 5,000 yen.
5. Use your IC card for transit and small purchases, your credit card for larger purchases at places that accept it, and cash for everything else.
6. Top up cash as needed at 7-Eleven ATMs. Top up your IC card at station machines or convenience stores.
That is it. No need for traveler’s checks (do those still exist?), no need for money belts stuffed with hundreds of dollars. Japan is a safe, straightforward country for managing money. Just keep some cash on you, have your cards ready, and enjoy your trip. The convenience stores are always there when you need them.
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