Dear Bruce: I've always respected my father's opinion, but we are at odds on an issue that I hope you can resolve. I'm 25 years old, with a college degree and a great job. I mention these things only to indicate that I am reasonably intelligent and can think for myself. We are having a major debate: Everybody has seen ads for zero down payments on cars. I make a good living and am paying off a substantial college debt, so my cash position is weak right now. My dad says the zero down payment is a "fraud." He says the interest is packed in there somewhere. I say, "How can it be? Zero is zero." I plan to buy a new car when I can afford one, but I have agreed to listen to what you have to say, since we both respect your opinion. — G.R., via e-mail

Dear G.R.: I'm glad that you still respect your dad's opinion. While I understand what you are saying, your pop is right on point. There is nothing free here. If the agreed-upon price is $30,000, the car dealer will finance the entire $30,000 without adding interest. That's the good news; the bad news is that if you walked in and offered to pay cash for the car, the dealer would likely provide a $4,000 rebate, making the true cost of the vehicle $26,000. The interest is packed in that difference between $26,000 and $30,000. The rebate is a simple acknowledgment that there's no interest with a cash payment.

You should know that the public wants to be fooled. This type of advertising generates 60 percent of potential customers visiting the showroom, although a far smaller percentage actually apply for, are granted and accept the zero-down deal. Just a quick examination will show that it is not a good deal for everyone. Furthermore, the big hook is the five-year financing. I have said it before, and I will keep saying it: If you can't afford to pay for a car in three years, you cannot afford the car.

Dear Bruce: My husband and I are buying our first home. I am a 40-year-old nonsmoker, and he is a 52-year-old pipe smoker. We have a $13,000 term policy on him and $15,000 on me. My insurance agent seems to feel that we should update my policy. I asked about my husband, and the agent said he thought my spouse was ill last year. I explained that he had a herniated disc. I also told him that he had a form of leukemia. I wanted to be honest, but I'm afraid the insurance company is going to pull a fast one. What do you think? — Reader, via e-mail

Dear reader: The chances of your husband getting additional insurance coverage — at any kind of affordable premium — are nonexistent. A smoker with cancer is hardly a candidate for a long life. Whether your insurance could be increased is another matter, since you are healthy. You had better hang on to whatever insurance your husband has. I cannot imagine any more insurance forthcoming.

Dear Bruce: I would like to get your opinion on a subject. I was the sole beneficiary of my uncle's trust. To make a long story short, the trustee had my uncle cremated when she knew that his funeral and burial service was part of the trust. She did not account for most of her services — yet she charged me $40,000. I feel as if I've been raked over the coals. — Y.R. in Pennsylvania

Dear Y.R.: I most surely would contact her and ask for a precise, written explanation of her duties on behalf of the trust. I would also want an explanation as to why she chose to have your uncle cremated "if" she knew — and that's a big "if" — his wishes were otherwise. If the answers are unsatisfactory, your next stop is an attorney. If her fees were $40,000, I have to believe that this was a substantial trust. In order to determine the legitimacy of the fees, you will first have to know what she claims she did to earn them.

— Send your questions to Smart Money, P.O. Box 2095, Elfers, FL 34680. E-mail to bruce@brucewilliams.com.