Loan to pay off overseas credit card?

AASargent

I currently live in the UK and have a credit card debt of $5K AUD in Australia. I would like to bring the debt over here so I have more control over it and not get charged an exchange rate fee everytime I make a repayment.
My bank in the UK (HSBC) don't offer balance transfers.
They have suggested I apply for a personal loan to pay off the debt in Australia. I only need to borrow £3,200 to pay off the $5K AUD (exchange rate). HSBC said that i'll need to borrow £7K in order to get the lowest APR rate (6.1%). If I borrow £3,200, they will charge me 18.9% APR rate.
I will be able to pay this debt off within 6-9 months and looking for a solution. Should I look at another bank that offers balance transfers at 0% interest?

YorkshireBoy

As far as I'm aware no UK credit card will BT a debt from an overseas credit card directly.

What you need is a card offering 'super balance transfers'...that is a transfer of cash at 0% into your current account from where you can then settle (with conversion fees) the overseas card's debt.

Take a look at these options...

http://www.stoozing.com/sbt.php

The Virgin Atlantic card will give you 6 months 0% for a 2% fee. If this is a bit tight, timescale wise, then go for one of the 20 month cards and pay a 4% fee.

AASargent

Thank you for that website. Would you suggest the personal loan option would be better?

YorkshireBoy

AASargent wrote: »

Would you suggest the personal loan option would be better?

Only if I didn't understand maths!

How much smaller is 2% than 6.1% or 18.9% (assuming you need only 6 months)?

Apply the same logic to the longer duration 4% fee product.