Well yes my intention was to borrow like you simply to pay off a mortgage in Australia at 4.34%. So in this case a very simply risk free opportunity borrowing cheap to pay off higher debt.Original Post Deleted
But in the end after a bit of research, what I have done is a bit riskier and I have leveraged to take full advantage of the opportunity. For example, in the case of $2m, you could invest it in a unit trust earning monthly dividends anywhere from 5-10%, then the bank will give you an overdraft secured by the UT for $1.6m (80%) at a rate of 1.75%.
So bottom line you could now borrow up to $3.6m ($2m at 1.87% and then a further $1.6m at 1.75%). I do acknowledge the risk in the unit trusts, but I've still achieved my original safe intention at the same time by sending the money from the OD to pay of the overseas debt. So in my particular case I decided to take a bit of risk here and there but still think overall balanced.
Anyway, many things we can do with the money. The point is almost free unsecured money lying around at the moment