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Book Review of Debt Cures They Don't Want You to Know About
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Wow what can I say except I have never read anything quite like Debt Cures before in my life! It was a total surprise. I can't believe this got published. Is this a 2nd grader writing a composition for a teacher who wanted information about clearing up credit card debt? Instead, out of protest he writes a book of twenty-four chapters of mostly repeat information. About sixty percent of the book is repeated over and over. What are usable lies in about thirty pages of this three hundred page book which can be found in other sources.
And where should we start? First let me tell you about my expectation based on the infomercial and the title so you can gain a perspective of where I am coming from. The title Debt Cures should suggest that Mr. Trudeau will suggest the causes of your debt, ways to reduce or eliminate your debt, give a practical resource on getting into a specific plan to eliminate your debt and create wealth (see his cover and infomercials). It is not hard to expect these from an author toting that you can eliminate your debt. Isn't it?
Well what can I say, chapter one starts out by slandering the credit card companies and their high runaway fees. Well this has been common knowledge since the 1980's. This is when the credit card companies realized that they could add fees on your amounts in addition to interest and most people did not know. I can understand his point that credit card companies use deceptive practice, so people can not understand how their balance triples within six month. His false statement through me in the first chapter because he states "you debt problems are not your fault, but the credit card company" makes me see stars. `Hey Mr. Credit Card Company thanks for twisting my arm. By the way, that means I do not have to pay.' Well debt is at least partly your fault (80%). The high fees and interest (10%) are not and the economic factors (10%) aren't, but eighty percent of it is still your fault. Shifting the blame does not solve the problem.
The reminder of the first chapter is a self advertisement and a statement that he doesn't want to make any money, just information. Do you believe that, I have a bridge in Brooklyn to sell you, it's cheap?
Well I am dumb founded over chapters two and three because they repeat the same central theme as the first chapter Banks bad, government bad, down with the fees consumer good. Hey aren't banks in business to ah... make money? Why do I need this repeat more than once? Couldn't this have been combined in chapter one.
That would have been two chapters shaved and about 20 pages.
In chapter four I believe Mr. Trudeau is asking us to commit fraud. He suggests that when our debt gets near the Statute of Limitation, to tell the debt collector that you do not owe anything. It magically disappears. Well it doesn't because 1.) You still used the card and owe the debt and 2.) The creditor can still sue you and a judge will not care if it out time or not. There is more then one case on this. This is fraud isn't it?
In chapter five he suggests to negotiate with your creditors to reduce your debt. This is suggesting that the debt holder will do it. From experience, they wont. If they do, you still have to find the money to pay them off.
Mr. Trudeau does give some valuable information on your balance sheet (Net Worth) and your income statement (Cash Flow Statement) and what they are. He never explains what the importances of them are and why he mentions them. The rest of the book ignores these statements as a passing movement.
In chapter six, he suggests to call the credit card company to cut your interest rate and fees. This is good advice if the interest rate and fees are causing you to not pay and be late. This is what your income statement and net worth are for.
Chapter seven is the chapter on fighting back. It never really state how to fight back (it gives a lot of already written clichés). The chapter is mostly unsubstantiated stories of how some people fought back. I doubt these would work also because the credit card companies are not dumb.
Finally in chapter eight we get some useful information (though little). Here Mr. Trudeau explains your credit file and how to get it or at least the nuts and bolts. He gives correct information, but offers very little advice on how to correct problems and increase you credit rating. He advises you to get your credit report and checking thoroughly and often. Well Duh do I need one line at $39.95 plus shipping to tell me that?!
Again chapter nine is a continuation of chapter eight (which could have been combined) where Mr. Trudeau explains your FICO score and how to increase it. This is common sense; pay on time and keep balance low, duh! This is the first time he suggest going to a monitoring service (preferably debtcure.com) that will monitor your credit file for you at a price. One a year is fine unless you have problems. Then pay for it as you are clearing up your credit.
Chapter ten is yet another continuation of chapter eight and along with chapter nine should have been combined and condensed into chapter eight. He further explains your credit score and how high balances reduce your rating and low balance and timely payment help you increase your score (Well Duh , again)
That another two more chapters to be cut and about 25 pages saved off. Wow the book is getting lighter.
Chapter eleven is completely useless because suggest monitoring your credit rating, but there is no support or explanation on how to do it. Why was this on there to begin with?
Some easy strategies 7 in all (finally we are getting some where, nope). These are al common sense:
1. Pay on time (duh)
2. Pay More (again, duh)
3. Don't skip (you need some one to tell you this)
4. Don't close (I admit, most people don't know this one)
5. Stay Low; as in balance (Ok again, some people may not know this. Sometimes it is unavoidable though)
6. Don't Go Crazy; as in applying for credit (this is a strategy?)
7. Avoid inquiries (Ok again, some people may not know this. Sometimes it is unavoidable though when creditor are looking into to it get you that better rate)
Chapter twelve is about saying the two magic words to get credit card companies to give you some slack. I can't believe Mr. Trudeau suggest telling your debt collectors that you were a victim of "Identity Theft". This ruins everything for those of us who were actually victims. Can you cry "Wolf?" Or the debt is not yours (see chapter four here).
Half way through and most can be deleted as wrong, miss leading or useless information.
He talks about you home in chapter thirteen. Did I miss something, did we finish the debt issue. How do I get out of debt? All we get is how to avoid it and ask to reduce it. Again he talk about FICO and how you interest rate is based on the information in your credit file. He suggests to get rid of you PMI (Private Mortgage Insurance), let me see about thirty real estate books suggested it in the past 28 years.
Chapter Fourteen suggest you do not file for bankruptcy unless you have to, which is what I agree with. This is also the shortest chapter.
Here we go again, chapter fifteen is a flash back from chapter one. Big bad credit card company is stealing from the consumer and it is all a business. I got it already. He gives information on who to contact if they violate the laws. I think you can figure it out or go online to check.
Well chapter sixteen is another flash back to chapter on so I will not comment.
Again chapter seventeen is another flash back to chapter on so I will not comment.
Chapter fifteen, chapter sixteen and chapter seventeen should be combined into chapter one, shaving off three more chapters and 34 pages.
Chapter eighteen and nineteen repeat many of the themes in the rest of the book and he tries to convince to stop collection agencies in there tracts. He suggests keeping a journal when a collection agent calls and document them. Any Judge show should teach you this. Also isn't this common sense?
Chapter Twenty is the achieving wealth chapter which tells you nothing. This chapter is another waist of paper.
Chapter twenty-one and twenty two is about rebuilding credit. The only suggestion that I agree with here is to get a secured card, preferably where you bank already. The other advice; Asking friends and relative to allow you piggy back on their credit, co-sign loans, and taking installment loans are unwise. His rational is unclear and these should not be done anyway. If you piggyback, you guaranteeing to your relative's card company that you will make payment if you relative default for any reason. This and co-signing is never a good idea.
Chapter twenty-two suggests starting a business to get credit. Good if you have a legitimate business and the IRS is your side. For the IRS you would have to make a profit 3 out of the next five years you loose the tax benefits. Doesn't just start a business to increase you credit rating do it because it fills a need.
Chapter twenty-three can be found on line and through Matthew Lesco's books because Mr. Trudeau tells you how to get free money for you business or credit problems. No news here and most of his suggestions can be found online saving you the $39.95 plus shipping charges.
The last chapter has nothing useful.
Let's add up the usefulness of this book to the consumer. First it never gave the specifics I discussed in the second paragraph. The information was vague and sent you to a lot of other sources while other books were clear. Adding up the useless chapters and pages, here are the true number; 10 chapters should have been completely removed for vagueness and useless information representing 184 pages. That's 61% of the book that could have save trees.
If you want alarmist information and everyone other then you is bad, then this is for you.
If you want real information, save you money, there are plenty of books that legitimately help reduce and eliminate debt and help your wealth grow. Read Make Your Paycheck Last by Howard Moe, The Cheapskate monthly, Nolo Press' books on Bankruptcy and credit repair, and dozens of other books. The cost of these books combined should equal to less then the price of Mr. Trudeau' book. Stay away!!!
enjoy
Update 1/13/ 2009
After my reading of this book, I have come across a book that could help you get of debt if you have it is practical. Some situations can not be solved with a magic formula or a book, in most instance debt is one of them.
Since the undertaking of this book, I have come across two books worth while.
1. Financial Pease by David Ramsey
2. Total Money Makeover also by David Ramsey.
Since reading these books, I have become debt free before the credit crisis and I have started my emergency fund. He seems to be the only one who address both issues.
By J. Ferrara
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