Yeah, I think that's gotta be the way to do it. If only I had an angle grinder...
You can always file it by hand.
It doesn't need to be completely removed, just enough for it to fold.
I can't see it as a problem, unless you choose not to get the rear hinge serviced when the time come.
I do have a file somewhere. I'll have a go and see if it looks like it'll be 300 hours work.
It won't take 300 hours, the crank is made from aluminum, they're easy to files down, maybe 20 minutes, half an hour max (I did this for a customer bike who have similar problem).
It will be especially quicker if your files isn't too badly worn.
@TurtleRecall started
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You can always file it by hand.
It doesn't need to be completely removed, just enough for it to fold.
I can't see it as a problem, unless you choose not to get the rear hinge serviced when the time come.