Cheap Loans In Japan

cheap loan interest rates in JapanA few months back I wrote why I don’t keep my money in Japanese banks – which is because they pay horribly low rates. The other side of the coin is that you can borrow money in Japan at rates that most people in the US would have a heart attack if they saw.

I stopped by my local bank this weekend and they had fliers all over the place advertising a special Spring rate for housing loans. Here are the rates:

  • 10 – 15 years: 2.75%
  • 15 – 20 years: 2.78%
  • 20 – 25 years: 2.80%
  • 25 – 30 years: 2.83%
  • 30 – 35 years: 2.86%
  • I’ve been incredibly tempted to take out a large loan and place the money into investments in the US, but the yen/dollar rate does fluctuate quite a bit. Even though I know I can make more in the US, I could lose a lot depending on the currency exchange rate changes. I also would have to take into account the cost of changing the money back and forth which can be quite expensive. Still, it would be an interesting experiment to do on a lesser scale to see how it worked out and something I may consider in the future when Nate and I can get the income from the sites a bit less random month to month.

    The other option would to be to take out a large loan and invest it into something within Japan. I have a number of ideas in that area too, but they would take some planning and I would need to devote more time to them than I currently could afford to do. Some interesting possibilities to think about…

    This entry was posted in X Files. Bookmark the permalink.

    9 Responses to Cheap Loans In Japan

    1. Mike says:

      I have thought about this many a time. Unfortunately, I don’t have a Japanese wife, which is almost compulsory for a gaijin.

      Also, these kinds of interest rates, are usually open only for a house that you live in versus an investment property.

      Sometimes investment properties can see a return of around 20 per cent. Esp. if you buy something through the court sales. The hardest thing is getting the banks to lend you money at these rates.

      I have a friend who has some experience in doing this if you are interested.

    2. For a Japanese bank with great English services, online banking, AND the abilty to get decent interest rates WITH foreign currency. Check out.
      Your welcome ; )

    3. Ajay says:

      I live in India and plan on studying in the US, I wanted to take a loan from Japan to fund the education. Any ideas on how this would be possible?

    4. Hassan says:

      Dear Sir/Madam.

      I am doing a job in Japan as an Engineer.. I am Bangladeshi…If I want to take loan , is it possible for me ?

      Pls clarify me..

      Thanking You
      Software Engineer.

    5. Sungkwun koh says:

      I am looking for buying loan from Japan and I can offer “real estate secured or bonds, please advise me.

      from S.Korea

    6. regret78 says:

      need some help here. can I mortgage my condo/flat in Singapore or Malaysia to get a loan from Japan even if I don’t live there.

      S. M.

    7. John Sommers says:

      Very interesting about the cheap finance in Japan I would like to get $1.3 million at interest only for 5 years, in Australian dollars

    8. JANDIK says:

      What about hedging against currency flactuations? And changing currency on the Currency exchange, where spreads are lower?

    9. JANDIK says:

      I mean hedging on exchange by buying futures.

    Leave a Reply

    Your email address will not be published. Required fields are marked *