# US Social Security - Where to receive?



## garypen

For those who are receiving US Social Security, or any regularly scheduled direct payment from your home country, where do you choose to receive it?
Do you prefer to receive it directly to your Japan bank, and suffer the ups and downs of currency exchange fluctuations?
Or, do you receive it in your home country bank, and do occasional wire transfers when exchange rates are favorable?
I'm thinking that the latter would be preferred, as not to lose money during periods of a strong yen. But, I might not be aware of something that longer residents are familiar with, which might make the former a better idea.
Thanks in advance.


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## BC305

You could receive to a USD account in Japan (Sony, Shinsei, Mitsubishi come to mind), but probably worth checking if they charge for incoming funds. I normally keep US funds in US accounts. The cheapest method we've found for foreign exchange is to use our US issued charge card for purchases here...most retail establishments we use accept them. Otherwise we use our US issued debit cards to make withdrawals via an ATM. The rate via ATM's isn't as good as using the charge card, but is still cheaper than most transfer services. I think Transferwise might be cheaper, but I haven't tried it myself.


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## garypen

Thanks for that info. However, when I applied a few months after I posted above, the FBU rep at the Tokyo Embassy said that funds sent to foreign banks are always in that country's currency at the exchange rate in effect at that time. Were they incorrect? Can I really get USD deposited directly into my Japan bank USD account?
I ended up using my US bank, and will wire money to my Japan USD account a few times per year. Then, transfer to my yen account when exchange rates are favorable. But, it would definitely be preferred to receive the funds directly in Japan, and save the extra step and wire fees.


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## BC305

Apologies for the bad info. I wasn't aware they would only send in destination country currency. I am not currently drawing SS, but have recently begun retirement planning and that detail did not come up in my research thus far. Based on the info you received, maybe inquire with SS as to the rate they use in converting your USD benefit to Yen to see if it beats commercial entities? That said...I just did a quick search and found that the SS issued debit card charges a 3% conversion fee at foreign ATM's...which isn't competitive based on my experience. I didn't find anything specific to direct deposit conversion rates though. I'd be interested if you find a better way to receive benefits.


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## garypen

I will double-check with SS in the US, as well as follow up with the FBU here in Japan. Maybe I was given incorrect info.
I find it crazy that they won't direct deposit USD into a USD account in a foreign country, only local currency.
In the mean time, it only costs $25 for a wire transfer. So, if I do it quarterly, that's only $100/yr, which isn't terrible.


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## BC305

You may already know this....but in addition to the wire fee you're being charged, there is the hidden cost of the spread between the actual exchange rate and the rate you receive (their mark-up) which increases the true cost of the transfer. Something worth looking into/calculating when considering options. I found my credit union (which also charged a fee of $25) to be significantly more expensive than other options once the exchange rate spread (mark-up) was also calculated. There are a lot of considerations in money transfer, so just offering my experience for what it's worth. Hopefully helpful...


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## garypen

I'm not exchanging currency during the wire transfer. Only wiring dollars from my US bank to my Japan bank's dollar account. The exchange comes later when I transfer from the dollar account to the yen account. And, my JP bank's exchange rate is pretty close to the official rate. Not much mark-up at all. That's why I prefer to do the exchange here.
I would just prefer it if SS could deposit those dollars directly to my JP dollar account. Not only would I save the wire fee, it would save time and effort on my part.


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## BC305

Ah...understand. It would save a lot hassle if they can do it that way. Hope that's possible.


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