Debt Cures They Don't Want You to Know About

Kevin Trudeau has had quite a TV career. He's sold Mega Memory and Coral Calcium. Both made him a ton of money, though the Coral Calcium got him in trouble with the FDA and the FTC. Surprisingly his Coral Calcium claims turned out to be very exaggerated. The FTC then banned him from selling products on TV. Thanks to the 1st amendment, Trudeau didn't have to go hungry for long. He became an author and began is series of various things "...they don't want you to know about."

Debt Cures They Don't Want You to Know About is the 4th book of the series (#5 is Recession Cures - Get Rich in Tough Times). It is also the first Trudeau book I've endeavored to read. I admit to having low expectations and I was not disappointed. I found several problems with Trudeau's book, though I was somewhat surprised that some of the advice was at least somewhat helpful. Other hints were not necessarily bad, but not really useful either. The key problem is the sales pitch selling the book. Below I will discuss what was bad and the areas that weren't horrible.

The book itself is extremely repetitive, especially the first 3-4 chapters. I felt I was reading the same paragraph over and over, just with different wording (it reminded me of The Secret). The book itself could have been reduced to 150 pages (it rings in at just over 300 pages) without missing anything. That's not saying it needed to be written in the first place. Most of the repetition focused on the credit card companies and the banks screwing the American people and keeping them in a revolving-door of debt. While there's a kernel of truth in that statement, it doesn't need to be repeated over and over and over and over and over and over and over... On top of that, the repetition reinforces Trudeau's attitude with the intent to convince the reader "it's not your fault you are in debt". The following quote demonstrates the gist of the book:

"Most debt and credit books on the market today talk about how to cure debt by curbing

your spending and 'cutting out fat'. They make you think that it is something you did that

created the wild debt problem." - P.218

There's nothing like absolving yourself of all responsibility. Never-mind all the people who seem to be able to manage your money just fine. The quote is fitting as well, because there isn't a single strategy to help you learn to manage your money and really stay out of debt. Why would Trudeau want that? Readers might actually realize purchasing a book by Trudeau is a waste of money.

There is some actually useful advice in parts of the book. Just about all of it is how to get your APR reduced on your credit card. I'm sure a lot of people don't think that can change at all. I'm not confident that the reductions will be as drastic as dropping from say 25% to 5% like he claims, but it can't hurt to at least try. He even discusses the importance of paying off the balance each month. Unfortunately, he spends little time on that. Much of this chapter keeps the focus on how it's not your fault. In the end it's nothing new.

Trudeau spends quite a bit of time on strategies to eliminate debt. Almost none of which are realistic. I can't say for sure that they won't work, but the number of people who will qualify for the options will be miniscule, at the most. To use the strategies your debt will need to be 3+ years old, with no activity in that time; meaning you haven't paid on it in at least three years. The main strategy is to not acknowledge the debt as yours (Trudeau refers to it as alleged debt). You can also provide a statement of income and net-worth showing you have no money so they'll leave you alone. It might work. Trudeau suggest you have an accountant friend help you. (If you have a friend who is an accountant, sue him for letting you be so stupid with your money). Trudeau does provide an example in the appendix, but it's pretty pathetic.

The appendix is the worst I've seen for a finance book, hands down!!! What is in the appendix should have just been included in the text of the book. It's as if the appendix was added to try to drum up some fraction of credibility. It's a total of three pages, two of which are lame letters that are to be sent to your creditors stating you have no money (good luck on that). On the third page are the two financial documents. Both are correct, but pretty useless, even for their intended purpose. I would expect they would be worthless if you sent them to a creditor to show you have no money, again that might work. No where does he show you how to pay down debt from multiple sources.*

Trudeau's discussion of credit scores is half decent. The main problem again is the angle he takes. He explains the credit scores fairly accurately from what I can tell, but how he attributes the motives of the credit card companies is completely off the mark. I'm not saying the credit card companies/rating agencies are saints and that there isn't some trickery involved in what they do. The devious motives are over-stated. Unfortunately, Trudeau is mostly concerned that the credit card companies want folks with low scores because they can keep them in debt with high interest and high fees. He goes so far as to say they almost don't want people with good scores. I don't doubt that there is some truth to that. But, keep in mind that credit card companies are gambling, to a certain degree, on who will pay off their debt. If you are a greater risk, then they'll charge you more to be in debt to them to minimize their risk. They may hedge their bets greatly in their favor (possibly unfairly), so it pays to have good credit. Trudeau is noble enough to point this out. Again, it's nothing new, though the way Trudeau explains it, you'd think he's discovered Cold Fusion. Then again, I wouldn't put it past Trudeau to "discover" Cold Fusion.

At the end of the book there are two chapters about free money. Virtually all of it involves government programs.** Some of the programs may be worth looking into, but like the debt strategies, you might not qualify due to narrow requirements. They may be worth checking out. Just remember there's no such thing as Free Money. That you can take to the bank. In fact the chapter serves as a condensed version of the Matthew Lesko*** book as far as I'm concerned.

All in all, this book certainly does not live up to the hype. Plus, when you call, as is the Trudeau way, you'll be asked if you want to get his monthly newsletter with even more debt cures. The book certainly isn't ground breaking, though the way the infomercial puts it you can't find this stuff anywhere else. If you are in debt, you're better off finding a book that targets the area where you struggle. First, this book is too general to give any credence to anyone area. Plus, Trudeau's reputation also calls into question the validity of many of the strategies he offers. If you are looking for a good general finance book, I recommend something by Andrew Tobias, Ric Edelman, or even Suze Orman.**** When it comes to finance, I think you are better off going with somebody who has an established reputation versus somebody with a reputation for misleading his customers. BUYER BEWARE.

* If you have debt, pay on each item and apply any surplus to the debt with the highest interest rate. As debt gets paid off transfer all that surplus to the remaining debt with the highest interest rate. Repeat the process until all the debt has been paid off.

** This would be the libertarian's favorite section...to burn!!!!!!!!

*** Lesko is the dork with the suit covered in question marks as see here. He's like a deranged version of the riddler. See the video at the bottom of the page.

**** I wouldn't call Orman my favorite, but I think she has sound advice for the most part. One issue is that she sells some of the things she recommends which I find a conflict of interest. She also takes a more emotional view of money, so she'll likely appeal to women more than men.

Joe Wilson and the Rude Crew

With Joe Wilson, Serena Williams, and Kanye West all acting up, it made for an interesting week. I have to say that I found both Williams and West to be idiots for their behavior. Williams was the worst by far. Kanye wasn't too far behind, although his apology with Jay Leno was by far the most sincere celebrity apology I've ever seen. We'll see if it changes his behavior, because in my book he's still one of the most annoying celebrities.

I really want to talk about Mr. Wilson. Although his comment is considered rude by many, I liked it. He may have been incorrect in his assessment. From what I understand, the bill doesn't include provisions for illegal aliens. That would make Wilson incorrect, though I doubt illegal aliens would be turned away. We'll in effect pay for them as we do now. What I like is the spice Wilson added to congress. Can you imagine what it would have been like if Bush had been challenged like that? It reminds me of the british government where the Prime Minister has to answer to the parliament. Our presidents need to be challenged the same way. It's part show and entertainment in Britain, but I'd like to see the Congress and Senate face the president with criticism and cat-calls. I doubt Bush would have been re-elected if he had the face this kind of crowd.

Here's to you Joe Wilson. Just get the rest of your colleagues on board, then we're talking. This may be an area where Kanye is well suited.

Foucault's Pendulum

After several years of planning to read Umberto Eco, I finally picked up Foucault's Pendulum. I've heard it referred to as the thinking man's Da Vinci Code. Since Foucault's Pendulum came first, I'd much rather consider The Da Vinci Code as the idiots Foucault's Pendulum. There is a drastic difference between the two books, that's for sure.

First off, Foucault's Pendulum has much less action than a Dan Brown book. It also takes place over more than a 24 hour period. The most striking difference is the depth of the plot. Rather than be filled with a series of simple codes and and connections that unravel as the book progresses, Eco weaves a complex history and conspiracy that requires the reader to pay full attention.

Eco begins the book with the conspiracy alive and ready to expose itself. We see Causaubon enter a museum in Paris to find is friend Belbo who has informed Causaubon that The Plan is real. Eco quickly pulls the story into flashback and the majority of the book takes place in the past, a past that spans 10-15 years, or more. Causaubon is the main character we follow for the entirety of the book. He is a n expert on the Templar's and is drawn into a publisher to screen books about the templars. Eventually he and his friend Belbo begin to work up their own conspiracy regarding the Templars and other secret societies. In the end the made up conspiracy, known as The Plan, turns out to be a reality. Most of the book deals with the creation of The Plan, with little real action.

Overall I found the book enjoyable. It's not a book that should be read in small snippets, whichh unfortunately is how I read it. I took two months to actually read the whole book. The language is not difficult, but the themes and the history detailed in the book require the reader to pay attention in order to get full enjoyment. In contrast, The Da Vinci Code requires no such attention due to its simple nature. I would recommend this book to anybody who enjoys history for sure. Just make sure you have time to read it in large chunks.