higher rate on savings?
higher rate on savings?
Is there anything in Japan that pays a decent interest rate on savings? I keep hearing about CDs in the US paying 5%. Does Japan have something similar? (I am not looking for investment accounts, just savings). TIA
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RetireJapan
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Re: higher rate on savings?
Here is a ranking for April: https://diamond.jp/zai/articles/-/274915
Best is SBI Shinsei, at 0.3%
Inflation and interest rates are lower in Japan, so the interest paid on bank accounts is also lower.
Best is SBI Shinsei, at 0.3%
Inflation and interest rates are lower in Japan, so the interest paid on bank accounts is also lower.
English teacher and writer. RetireJapan founder. Avid reader.
eMaxis Slim Shady
eMaxis Slim Shady
Re: higher rate on savings?
In yen, no. If you have dollars, there are options in Japan to get a reasonable interest rate.
Re: higher rate on savings?
But with the corresponding Foreign Exchange Risk if the Yen strengthens against the foreign currency.
The higher interest may not compensate for the potential loss in Yen value of the foreign currency held if the Yen strengthens against the foreign currency held.
Prestia currently has these Interest Rates:
Foreign Currency Savings Deposit Interest Rates
https://www.smbctb.co.jp/en/about_inter ... hange.html
Foreign Currency Time Deposit Interest Rates
https://www.smbctb.co.jp/en/about_inter ... posit.html
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This Guide to Japanese Taxes, English and Japanese Tai-Yaku 対訳, is now a little dated:
https://zaik.jp/books/472-4
The Publisher is not planning to publish an update for '23 Tax Season.
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This Guide to Japanese Taxes, English and Japanese Tai-Yaku 対訳, is now a little dated:
https://zaik.jp/books/472-4
The Publisher is not planning to publish an update for '23 Tax Season.
Re: higher rate on savings?
Well, I did say if she has dollars. She wouldn’t bear any additional forex risks by putting them an a USD based interest bearing account!
Re: higher rate on savings?
???
If she has dollars and puts them in a time deposit at 5%
She'll get $5 on $100 or Y680 on Y13,604 at the current exchange rate = Y14,284
but if the Yen goes from Y136.04 to Y110, then that $105 will only be valued at Y11,000, so with the Interest Y11,550...
Lose Y2,054 on the original investment at today's exchange rate, or about -8.5%...
That's the Forex Risk.
She doesn't have Forex Risk only if she doesn't want the money in Yen in the future. If her base currency is USD...
:
:
This Guide to Japanese Taxes, English and Japanese Tai-Yaku 対訳, is now a little dated:
https://zaik.jp/books/472-4
The Publisher is not planning to publish an update for '23 Tax Season.
:
This Guide to Japanese Taxes, English and Japanese Tai-Yaku 対訳, is now a little dated:
https://zaik.jp/books/472-4
The Publisher is not planning to publish an update for '23 Tax Season.
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TokyoBoglehead
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