Sending business payments from the US to Japan
A US company pays a supplier or subsidiary in Japan by SWIFT wire to its account at a Japanese bank, in US dollars to a foreign currency deposit account or in yen to an ordinary yen account, using the bank and branch names, the account type and number, and the bank's SWIFT code. Payments between Japanese residents and nonresidents fall under the Foreign Exchange and Foreign Trade Act, whose reports the Bank of Japan processes for the government. This guide covers the details to collect, the rules, rails, documents and fees.
- The Bank of Japan processes notifications and reports of payments and receipts between residents and nonresidents required under the Foreign Exchange and Foreign Trade Act, on behalf of the government.
- The Zengin System, which started in 1973 and is operated by the Japanese Banks' Payment Clearing Network (Zengin-Net), relays domestic credit transfers between almost all private banks in Japan in real time.
- Banks settle Zengin System obligations across their current accounts at the Bank of Japan, whose New BOJ-NET was fully launched on 13 October 2015.
- Tokyo is 13 hours ahead of New York in the US summer and 14 hours ahead in the US winter, so a wire sent on a New York afternoon is credited on the next Japanese business day.
- Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment.
Details to collect from your recipient in Japan
Japanese bank accounts are identified by the bank, the branch, the account type and the account number, and a payment from abroad also needs the bank's SWIFT code, the 8 or 11 character code that identifies a bank on the SWIFT network. Ask the supplier for its bank's instructions for incoming foreign remittances and copy every field from them, because the account name in the bank's records may be written differently from the trading name on the invoice.
| Detail | What to ask for | Why it matters |
|---|---|---|
| Beneficiary name | The account name in romanized form, exactly as the bank's remittance instructions show it | Name mismatches are a common reason for queries and returns |
| Beneficiary address | Registered address in Japan | Required on SWIFT wires |
| Bank and branch | Bank name, branch name and branch number | Japanese accounts are held at a named branch |
| Account type and number | Ordinary or current account, and the account number; or the foreign currency deposit account for dollars | A dollar wire to a yen account is converted by the bank |
| SWIFT code | 8 or 11 characters for the bank | Routes the wire from the US |
| Purpose of payment | For example, payment for goods under a stated invoice | Helps the bank and the supplier complete any report under the Act |
Field list compiled by the Helm Editorial Team; reporting role from the Bank of Japan, Outline of International Finance. As published on 29 October 2026.
USD or yen: what Japan's rules mean for your payment
Japan's rules for money crossing the border are set by the Foreign Exchange and Foreign Trade Act, often shortened to FEFTA. The Bank of Japan states that it processes, for the government, requests for permission and the notifications and reports of capital transactions and of payments and receipts between residents and nonresidents required under the Act, and that it has accepted these reports online since 2005. For an ordinary trade payment, that means a report, not an approval.
Pay in the currency on the invoice. A Japanese exporter that buys materials in dollars may prefer a dollar invoice paid to its foreign currency deposit account; a yen invoice moves the exchange rate risk to you. The US dollar to yen page covers the currency itself.
| Rule | What it says | What it means for your payment |
|---|---|---|
| Legal basis | Foreign Exchange and Foreign Trade Act | Covers payments between Japanese residents and nonresidents |
| Reports | The Bank of Japan processes the Act's notifications and reports on payments and receipts for the government | Give a clear purpose so the supplier and its bank can report the receipt |
| Online filing | The Bank of Japan started an online reporting system in 2005 | Reporting is routine for Japanese companies |
| Exchange rate | When the yen becomes unstable, the Ministry of Finance may instruct the Bank of Japan to buy or sell yen | The rate moves with the market, so a yen invoice carries currency risk for you |
Source: Bank of Japan, Outline of International Finance. As published on 29 October 2026.
Rails and arrival times: SWIFT, the Zengin System and BOJ-NET
A dollar payment from a US account reaches a Japanese bank by SWIFT, and the dollars settle in the United States on Fedwire, which runs from 9:00 p.m. ET on the previous day to 7:00 p.m. ET on weekdays, with a 6:45 p.m. ET deadline for customer transfers. Inside Japan, yen move between banks on the Zengin System, and banks settle with each other across their accounts at the Bank of Japan.
| Route | What the recipient receives | Timing, as published | Notes |
|---|---|---|---|
| SWIFT wire in USD to a foreign currency deposit account | US dollars | Swift reported in August 2023 that 89% of payments on its network reached the recipient's bank within an hour; crediting follows on a Japanese business day | Standard route for dollar invoices |
| SWIFT wire to a yen account | Yen, converted by the bank | Credited on a Japanese business day | The bank sets the rate |
| Domestic yen transfer over the Zengin System | Yen | Fund transfer advices are forwarded to the recipient's bank in real time | Covers almost all private banks in Japan; settled at the Bank of Japan after business hours |
| BOJ-NET | Settlement between banks | Real-time gross settlement; New BOJ-NET fully launched on 13 October 2015 | Used by banks, not by companies directly |
Sources: Zengin-Net, Zengin System; Bank of Japan, Operation of BOJ-NET; Federal Reserve Financial Services, Fedwire operating hours; Swift, 22 August 2023. As published on 29 October 2026.
Real-time gross settlement means each payment settles individually as it is processed. Citi notes that international wires may take up to 5 business days, and the biggest variable is the time zone: a wire sent on a US Friday afternoon arrives in Tokyo after the Japanese weekend has started.
Documents, screening and why payments to Japan are held
Japanese banks ask recipients about the purpose of payments from abroad so that receipts can be recorded and, where the Act requires, reported. The supplier usually needs the invoice and, for a subsidiary, the intercompany agreement behind the payment. Put the invoice number and a plain description of the goods or service in the payment details.
Screen before you pay: OFAC's guidance is that every US person, US-incorporated companies and their foreign branches included, must comply with US sanctions, so check the recipient and its bank against OFAC's lists before the first payment (OFAC FAQ 11).
| Problem | What happens | How to prevent it |
|---|---|---|
| Account name does not match the bank's record | Queried or returned | Copy the name from the bank's remittance instructions |
| Branch missing or wrong | The bank cannot route the credit | Collect the branch name and number |
| Dollars sent to a yen account | Converted on arrival at the bank's rate | Ask for the foreign currency deposit account |
| Purpose not stated | The bank asks the supplier before crediting | State the goods or service and the invoice number |
| Sent on a US Friday afternoon | Credited on the next Japanese business day | Send earlier in the US week |
| Wire sent as SHA | Arrives short of the invoice | Use OUR for invoices that must be paid in full |
Sources: Bank of Japan, Outline of International Finance; Helm Editorial Team. As published on 29 October 2026.
Costs: SHA, OUR and Helm's fees for payments to Japan
A payment to Japan can carry your provider's fee, intermediary deductions and the receiving bank's charge for crediting a remittance from abroad, which each Japanese bank sets for itself. Under SHA, the intermediary and receiving fees reduce what arrives; under OUR, you pay them. Our guides to OUR, SHA and BEN charges and how long an international wire takes cover both sides in detail.
Helm, a financial technology company and not a bank, sends international payments from your company's account by SWIFT and by local rails in the recipient's currency where available, confirmed by your account manager. The rate, fee and expected arrival are shown before you confirm. Helm's US dollar account services are provided by Bridge Building, Inc. (NMLS ID 2450917), a licensed money transmitter, with funds held at Lead Bank.
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment. See how Helm pricing works.
Open a Helm account
USD, EUR and GBP accounts in your company's name, with a named account manager.
Open accountQuestions
How do I send a business payment from the US to Japan?
Send a SWIFT wire to the supplier's account at its Japanese bank, in dollars to a foreign currency deposit account or in yen to a yen account. You need the account name, bank, branch, account type and number, the bank's SWIFT code and a clear purpose.
Do Japanese companies have to report payments from abroad?
Payments and receipts between residents and nonresidents fall under the Foreign Exchange and Foreign Trade Act. The Bank of Japan processes the notifications and reports required under the Act on behalf of the government.
What is the Zengin System?
The Zengin System is Japan's nationwide network for domestic credit transfers. It started in 1973 and is operated by the Japanese Banks' Payment Clearing Network (Zengin-Net). It forwards transfers to the recipient's bank in real time and covers almost all private banks in Japan.
How long does a wire from the US to Japan take?
The dollars settle in the US on Fedwire, and the Japanese bank credits them on its next business day. Tokyo is 13 or 14 hours ahead of New York, so a wire sent on a New York afternoon is usually credited the next Japanese business day.
Should I pay a Japanese supplier in dollars or yen?
Pay the currency on the invoice. A yen invoice means you carry the exchange rate; a dollar invoice paid to a foreign currency deposit account leaves the conversion decision with the supplier.
What does Helm charge to send money to Japan?
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment.
References
- Bank of Japan: Outline of International Finance
- BIS CPSS: Payment, clearing and settlement systems in Japan (2012)
- Bank of Japan: Operation of BOJ-NET
- Federal Reserve Financial Services: Fedwire Funds Service operating hours
- Swift: Cross-border payments on Swift exceed the G20's processing speed target (22 August 2023)
- Citi: How long does a wire transfer take?
- Office of Foreign Assets Control: FAQ 11, Who must comply with OFAC sanctions?
This guide is general information for businesses, not financial, legal or tax advice. Rules, fees and timings were checked against the sources listed on the review date and may change.