I am a very underemployed real estate broker of 35 years.
Have you heard of Dave Burke and Real Talk and his secret system of paying off debt for only $1997?
I had not heard of Dave Burke or his Real Talk show or the $1997 price for some magic debt elimination scheme.
First, even before researching it I have to say that in all my years, no scheme to eliminate debt in some secret or hidden way has ever panned out to be anything more than a hollow trick.
Here are some comments I found about his program.
A friend of mine IS A COACH for this company. What he’s told me is that you take your paycheck and deposit it on the line of credit you have on your house. You use credit cards that have bonus points to buy EVERYTHING during the month and use that line of credit to pay the credit card bill at the end of the month. The idea here is that you disrupt the amortization schedule of the line of credit, thus the interest paid on it decreases, accelerating the principal reduction process. The friend I mention HAS DONE it and he is big time on his way to paying off this second mortgage.
That just doesn’t even make sense. With interest calculated daily on a mortgage, no trick will stop that from happening. If all we are doing is playing due dates, that’s not a viable strategy.
I have not been to the seminar, but I’m pretty sure how the program works – It’s a Home Equity Line of Credit on the house for the entire mortgage (and shouldn’t be a seperate LOC – but in this market…yeah, right) with all credit cards, etc., rolled into the single loan. You take all of your income and apply to the HELOC and use that as your primary checking account. The payments on a HELOC are interest only, which are obviously less than an amortizing payment. The interest rate is substantially less, required payment is much less, thereby reducing the account balance at a much quicker speed. This is commonly referred to as an “Australian Loan” where it is very common. In fact, 25% of loans originated in Australia were of this nature. If you can budget, it’s “bonzer”. If you can’t, you already know that because of the mess you’re in already.
So I found these videos about the system, or at least a bit of it.
In that first video I watched above, the process of instantly putting $2,400 in your bank account is not a secret or anything new. It is simply what is happening now if you are paying off your balance each month. And I went away with the feeling that the money found would not have to be paid back but if you use the process shown in the video you will still get a final bill and you’ll have to pay it.
The the second video, after watching it, my response is huh?
I have not seen anything innovative or revolutionary in the information presented about the program. In fact my alarm bells are going off. I am always concerned when someone wants to charge you nearly $2,000 for access to a secret system or special information.
There are a lot of ways to tackle reducing your debt. You can start by addressing the highest interest rate debts or use the debt snowball approach. At the end of the day the reason that any approach eliminates your debt is because you pay it off. If you pay it off early you save interest. It you double up on payments you save interest and time.
At some point in my research I had to stop watching the online videos. They simply got too painful for me to watch anymore. They are so full of hype and sales pitches that it just leaves me wondering why there is a need for such tactics if the process is straightforward and easy, as claimed.
I did go to his site and looked at the schedule where he says his radio program appears. I then checked the individual stations and not one of the stations I checked listed his show as currently appearing on their station. Some listed the time slot as “infomercial”.
It would be easier for me to list the stations that said they broadcast his show rather than all the ones I could not find from the lists of 60 stations. AM 830 does.
My advice, stay away. My prediction is that when they discover I wrote this post they will engage in attacks and nasty comments in an attempt to deflect from the real apparent reality, it is a bunch of bunk and designed more to get you excited and sell you a big ticket product.
Use the $1,997 to reduce your debt, stop incurring new debt, and payoff all your credit card debt and then apply the money you freed up each month to your mortgage. You’ll be out of debt decades earlier.