【Foreign Residents】Can You Open a NISA at Rakuten Securities? A Complete Guide to Name Traps & Return Rules

"I've been working in Japan, saved up some money, and now I want to start investing with NISA."

If you are a foreign resident thinking this, please wait a moment. Japanese brokerage firms, especially the popular Rakuten Securities, are full of pitfalls for foreigners that Japanese people never face. These include "failing screening due to name input errors," "credit card accumulation errors," and "losing money on taxes when returning home."

In particular, if you have a "Middle Name" or plan to return to your home country in the future, applying without knowing the rules could lead to account freezing or asset locking.

In this article, we provide a complete explanation of the requirements for foreign residents to successfully open a NISA account with Rakuten Securities, the "tricks" to pass the screening, and the "exit strategy" for when you eventually leave Japan.

【Conclusion】Can Foreign Residents Really Open a NISA at Rakuten Securities?

To give you the conclusion first: Even if you are a foreign national, as long as you are a legal "Resident" of Japan, you can open a Rakuten Securities NISA account just like a Japanese citizen.

However, not everyone can open one immediately. The most critical hurdle is the "6-Month Rule."

What is the "6-Month Rule" Wall?

Under Japanese law (Foreign Exchange and Foreign Trade Act), foreigners who have been in Japan for less than 6 months are generally treated as "Non-Residents." Consequently, you cannot open a NISA account, or even a standard brokerage account.

• Less than 6 months after entry: Generally Impossible (Non-Resident)
• 6 months or more after entry: Possible (Resident)

Exceptions and Notes by Visa Type

The strictness of this rule depends on the type of Residence Status (Visa) you hold.

• Permanent Resident / Long-term Resident / Spouse Visa: You can open an account most smoothly. However, pay attention to the expiration date of your Residence Card.
• Work Visa (Engineer/Humanities, etc.): Even shortly after entering Japan, if you can prove you are "working at an office in Japan" (have an employment contract), you may be able to open an account in under 6 months. However, you will often be asked to submit additional documents like an employee ID or Certificate of Employment, and the screening will take longer.
• Student Visa: This has the highest hurdle. It is possible if "6 months have passed," but part-time jobs (Arubaito) are generally not considered "employment" for the exemption rule, making it nearly impossible to open an account immediately after arrival.
• Short-Term Stay (Tourist): You cannot open a NISA account.

How to Avoid Failing: Required Documents and the "Name" Trap

The biggest reason many foreigners fail the Rakuten Securities screening or give up halfway is "Document Deficiencies" and "Name Input Errors."

The 3 Essential Documents

If you don't have the following three items on hand, you cannot complete the application.

1. Residence Card (Zairyu Card) It is a mandatory requirement that the validity period has "3 months or more" remaining. If it is currently being renewed, you will not pass the screening even if there is a stamp on the back, until the new card arrives.
2. My Number (Individual Number) You need a "Notification Card" or a "My Number Card."
3. Identity Verification Document Driver's license, etc. (Required if using smartphone "eKYC" verification).

【Most Important】Middle Names and the "Exact Match" Rule

This is the biggest difficulty. For security reasons, Rakuten Securities requires that "Name on Residence Card (Romaji)," "Registered Katakana," and "Bank Account/Credit Card Name" match completely. If they don't, you will get an error.

Especially for those with middle names, the following troubles occur frequently.

• Trouble Example:
  • Residence Card: SMITH JOHN DAVID
  • Rakuten Card: SMITH JOHNDAVID (Spaces removed due to character limit)
  • Result: When setting up NISA credit card accumulation, a "Name Mismatch" error occurs, and payment cannot be processed.

Solution: Use "Manual Input"

When applying for Rakuten Securities, always input your name exactly as it appears on your Residence Card in Romaji (or official Katakana).

If you encounter an error when setting up Rakuten Card accumulation, look for the recently added "Manual Input" option. Instead of automatic linkage, there is a trick where you can pass the verification by manually entering the name as it appears on the card face (including spacing rules).

Also, when creating the Rakuten Card itself, you need to be careful about name rules. We explain this in detail in the article below.

【Practical Guide】Rakuten Card Application Steps: Tips for English Input & How to Pass Screening

3 Reasons Why Foreigners Should Choose "Rakuten Securities" & How to Use New NISA

Even with the procedural difficulties, the benefits of choosing Rakuten Securities are significant.

1. Earn Rakuten Points (Credit Card Accumulation)

When buying mutual funds in the NISA "Tsumitate Investing Framework," you get points if you pay with a Rakuten Card.

• Monthly Limit: Up to ¥100,000
• Return Rate: 0.5% even with the free Rakuten Card
• Real Benefit: If you invest ¥100,000 monthly, you receive 6,000 points per year. This is a guaranteed return separate from your investment profits.

2. SPU (Super Point Up Program)

If you purchase mutual funds of ¥30,000 or more per month in your NISA account (including using points), your point multiplier for shopping on Rakuten Ichiba increases for that month. This is advantageous when buying souvenirs for home or daily necessities.

3. Intuitive UI

Rakuten Securities does not support English, but it uses many icons and graphs, so it is fully operable using Google Chrome's auto-translate function.

If you don't have a Rakuten Card yet, be sure to make one before applying for NISA. Without the card, the benefits of Rakuten Securities are halved.

What Happens to My NISA Account When I Leave Japan? (Exit Strategy)

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A problem foreigners cannot avoid is: "What happens to the NISA account when I leave Japan?" If you don't understand this, in the worst-case scenario, you may be unable to withdraw your assets.

General Rule: NISA Must Be Closed if You Become a Non-Resident

If you leave Japan and become a "Non-Resident" (removing your resident registry), you generally must Close (sell all) your NISA account or transfer assets to a taxable account.

If you leave without doing anything, you face the following risks:

• Account Freeze/Lock: You may lose the ability to log in due to access from overseas or the cancellation of your registered Japanese mobile phone number (SMS authentication).
• Forced Cancellation: If it is discovered that you are a non-resident, your NISA account may be forcibly terminated.

Special Exception for Temporary Departure (Within 5 Years)

Only if you can prove you will return to Japan within 5 years (e.g., company transfer order), you can keep holding your NISA assets tax-free. However, you cannot make new purchases (accumulate) while overseas.

Case of Permanent Return (Over 5 Years / Resignation)

In the most common case of "returning to your home country permanently," please use the following exit strategy.

1. Timing of Full Sale: Sell all mutual funds and stocks 2–3 weeks before departure and convert them to Japanese Yen.
2. Withdrawal and Remittance: Withdraw funds from Rakuten Securities to your bank account, then remit overseas.

【Smart Remittance Method】 Sending money from a Japanese bank to overseas involves fees of several thousand yen and poor exchange rates. By using Wise, you can move funds to your home country up to 8x cheaper than banks using the real exchange rate.

Register for Wise for free with a referral bonus here

For a comparison of remittance services when leaving Japan, please refer to the following article.

【Fee Comparison】Top 4 Services to Send Money from Japan: Wise, SBI Remit, Revolut, & Bank Transfer

Special Note for US Citizens

US Citizens (including Green Card holders) need to be extra careful.

• FATCA (Foreign Account Tax Compliance Act): You must declare your US Taxpayer Identification Number when opening an account.
• PFIC Issue: Under US tax law, Japanese "Mutual Funds" (Investment Trusts) are considered PFICs (Passive Foreign Investment Companies) and are at high risk of being subject to punitive taxation.

For US citizens, it is generally said to be safer for tax purposes to avoid Japanese mutual funds (even in NISA) and buy individual stocks or use a US brokerage firm (like Interactive Brokers).

Frequently Asked Questions (FAQ)

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Q. Does Rakuten Securities have English support? A. No, they do not. The call center is also Japanese only. If you are not confident in Japanese, we recommend going through the procedure with a Japanese friend or someone who can support with translation.

Q. Can I do NISA without making a My Number Card? A. The My Number (the number itself) is mandatory, but you can open an account with just a "Notification Card" and a "Photo ID (Residence Card)" even without the plastic card. However, the process is smoother with a My Number Card if you use eKYC (smartphone identity verification).

Q. What about taxes on NISA when I return to my home country? A. Within Japan, selling inside a NISA account is tax-free. However, depending on the tax laws of your home country after you return, you may be taxed in your home country on profits gained in Japan.

Conclusion

For foreign residents, NISA at Rakuten Securities offers significant benefits through point rewards and is a powerful tool for asset formation in Japan. Once you clear the "6-Month Rule" and "Name Input," your assets will pile up automatically every month.

Start by applying for the essential NISA items: "Rakuten Card" and "Rakuten Securities." Even if there are deficiencies, they can be corrected. Taking action is the first step toward asset formation.