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When I have a Steward, and even late in life of other rulers, that first point in the Avaricious tree lets you collect up to 300g from each person you have a hook in (this is limited to people that actually have gold, of course).
I used hooks most for inviting people to court. If you fabricate a hook on someone who's not a ruler and has a claim, you can then invite them to your court, push their claim and keep asking them for something every 5 years. Demand them to convert, modify their contract, keep asking for gold and more... All this while they cannot join a faction against you.
If you're playing as a vassal you can use a hook on your liege to modify contract in your favor or force fellow vassals (with a strong hook) to join in on your factions. There's probably more but I rarely play as a vassal, so I don't really know.
Hooks can be used to skew marriage/guardianship deals in your favor, I never found too much use for that, but still, it's something worth considering.
And then there's the (At least in my opinion) outright exploit uses, such as inviting realm priests with 50k gold to your court, then throwing them in prison, banishing them and taking all their gold.
Edit: Revealing secrets is good when you want characters to not like your target, for an example when you're having a faction pushing your claim on your liege's main title or when you're planning to murder someone and want agents to join in.
A bunch of strong hooks on people in his court, being used to force them to kill their ruler w/o any need for a bribe, is hilarious.
I'd really like if there were more options involving them.
Perhaps involving research. (Person of a different culture can give your culture <X amount of progress to a research.> To balance it out, yes a small amount, maybe 2 months worth? just something small.)
Maybe if you can strong hook your cultural head, they swap their focus to your selected type. (With an internal cooldown of swapping - say, 2 years?)
Or if we're looking for diplomatic things: strong hook to make them your friend, lose their rivalry with you
Weak hook to make them like you a little more. "Gave up (weak/strong) hook on me... +30 or +50" etc.
Some stress options? "Courtier humiliates themselves publicly by being court jester for a day, your realm is a little happier and you feel the burdens go away, if only for now..."
Weak -15 stress? Strong -30?
Just things like that.
The only time where this is absolutely OP, is when you have created your own Tribal Empire with mostly your dynasty holding all titles. Because nobody can create cadet branches, you'll soon have the House Head hook on virtually all landed rulers in your realm.
Otherwise it actually requires work to get a significant amount of hooks, like spying on other people's courts, or making prisoners (and ransoming for favors).
-golden obligations perk for free money
-hooks on the pope are quite fun
If you want a tutorial on how to use hooks, allow your character to be hooked by the AI. It will find ways of using hooks you've never thought of.
Primarily, I use hooks to stop factions and to extort money. Holding hooks can lead to hook-related events, which can yield some great perks.
Think not on him till to-morrow:
I'll devise thee brave punishments for him.
Strike up, pipers!
- Much Ado About Nothing, Act V Scn IV