The Clark Howard Podcast

Episode: 02.18.26 | Relocating Overseas / Debt Trap Exit Strategies
Date: February 18, 2026
Host: Clark Howard, with co-host Krista

Episode Overview

In this episode, Clark Howard explores two major personal finance themes:

1. The new trend of Americans relocating overseas for work or lifestyle, and what you should consider before making such a move.
2. Practical strategies for escaping the "debt trap," specifically high-interest credit card debt, including actionable tips and listener stories.

Additionally, Clark and Krista answer listener questions on topics ranging from health savings accounts and "free dinner" sales pitches, to new financial scams and optimizing cell phone plans. The episode is laced with Clark’s travel stories, unmistakable frugality, and frank consumer advice.

Key Discussion Points & Insights

1. Relocating Overseas: Trends and Considerations

• Growth in Americans Abroad

  • Approximately 4 million Americans now live overseas, marking a growing trend among both retirees and working-age individuals. (01:45)

• Beyond Retirees: The Working Set

  • While many retirees relocate to stretch Social Security dollars, increasingly, younger working professionals and remote workers are seeking opportunities abroad for adventure or cost of living benefits.

• Countries Offering Incentives

  • Various countries are actively recruiting Americans with skills, sometimes offering grants and cash incentives. Examples include:
    • Chile: Pays skilled professionals to relocate.
    • Ireland: Grants for investment in housing.
    • Italy: Cash incentives for skilled workers.
    • Japan: Rural relocation grants, particularly targeting depopulated regions outside the Tokyo-Osaka corridor.
  • Domestic parallels, like Tulsa, Oklahoma’s economic incentives, have proven successful for attracting tech and startup talent. (05:28)

• Critical Advice Before Moving

  • Clark warns that living somewhere is fundamentally different than vacationing there. Cost of living can sometimes be higher than in the U.S. (e.g., Australia) and strongly recommends test-driving a location before any long-term commitment or real estate purchase.
  • Quote:

    "Test ride a place way before you'd ever consider buying real estate there." – Clark Howard (06:51)

Quick Resource: Krista notes a handy list of international incentives is available on Clark.com. (06:53)

2. Listener Questions & Consumer Advice

Forced Carry-On Bag Check at the Gate (Travel Frustrations)

• Airline baggage fees led to more gate-checked carry-ons.
• If forced to gate-check:
  • No bag fees are charged.
  • Risk of loss is minimal for non-stop flights, but increases on connections.
• Quote:

  "...by the time they finish boarding the third [group], whether the bins are empty or not, they're taking the bags away..." – Clark Howard (08:02)

HSA (Health Savings Account) Withdrawals After 62 (11:26)

• Clarification:
  • At 65, HSA funds can be withdrawn for any purpose without penalty (but are taxed as income if not for medical expenses prior to 65).
  • Withdrawals before 65 for non-medical expenses incur a 10% penalty plus ordinary income tax.

Free Dinner Sales Pitches (12:32)

• Most "free dinner" or "free vacation" offers are high-pressure sales events for overpriced financial products (annuities, timeshares, etc).
• Advice: Only attend if you're 100% certain you won't be swayed.
• Quote:

  "...the closers are really good at using guilt, using flattery, using pressure, being threatening, whatever to try to get you to buy whatever junk it is you got the free meal for." – Clark (13:12)
  "They know they're gonna convert a certain number of people there to an atrocious, hideous, awful annuity." (14:51)

3. Exiting the Debt Trap: Strategies for Beating Credit Card Debt

Calling Card Issuers for Lower Rates (19:03)

• Clark reports a TV-test where almost 75% of callers requesting a lower interest rate on their credit card received one (at least for a limited time).
• Action Step:
  • Call your credit card company, state the burden of your current rate, and ask for a reduction. Success is higher than you might expect.

Balance Transfer Offers

• Alternative:
  • Transfer your balance to a credit card with an introductory 0% interest period (mind the 4% transfer fee).
  • Use the 12–18 month window to pay down principal aggressively.

Credit Unions Offer Lower Rates

• Switching to a credit union can halve your interest rate due to their cooperative structure.
• Mindset Shift Needed:
  • The goal is to use credit cards as a payment instrument, not a borrowing one. Pay off your balance in full each month to avoid interest.
  • Quote:

    "If you're paying interest on cards, you're subsidizing me and people like me who pay balances in full." – Clark Howard (22:54)

4. Scams & Cautions

New Financial Scam Story (23:26)

• Listener CJ from Alaska shares a near-miss with an email and phone scam targeting his elderly mother, involving fraudulent Apple transactions and an attempt to remotely access her computer.
• Clark’s Reaction:

  "What a great job as a child." – Clark Howard (24:19)

• Advice:
  • Vigilance is essential, especially for protecting older family members from financial predators.

5. Listener Money-Saving Wins & Frugal Fun

Reviewing and Upgrading Cell Phone Plans (25:20)

• Listener Charles saved $550 a year by switching to a new, better plan with the same carrier.
• Clark shares a story of helping a friend cut his solo cell bill from $140 to $20/month.
• Quote:

  "Lesson learned, even if you have no intention of switching carriers, it's worth periodically reviewing your existing plan." – Krista (25:40)

Clark’s Dog Naming Saga (26:39)

• Listeners respond with humorous suggestions for Clark’s next dog name, keeping with his tradition of naming pets after discount brands or baseball teams, including "Buck 50" (hotdog nod) and "Savannah Banana" (after the viral baseball team).
• Fun exchange full of self-deprecation and Clark’s signature thriftiness.

The Joy of Warehouse Shopping (27:27)

• Clark details a recent Hawaii trip packed with Costco visits, emphasizing savings on travel and souvenirs.
• Quote:

  "I'm like the kid from Kirkland because we booked our hotel packages on...Costco Travel." (29:12)

Notable Quotes & Memorable Moments

| Timestamp | Quote (Speaker) | |-----------|----------------------------------------------------------| | 06:51 | "Test ride a place way before you'd ever consider buying real estate there." – Clark | | 13:12 | "...the closers are really good at using guilt, using flattery, using pressure, being threatening, whatever to try to get you to buy whatever junk it is you got the free meal for." – Clark | | 19:03 | "...we did that as a TV segment...and our success rate was almost 75%." – Clark | | 22:54 | "If you're paying interest on cards, you're subsidizing me and people like me who pay balances in full." – Clark | | 25:40 | "Lesson learned, even if you have no intention of switching carriers, it's worth periodically reviewing your existing plan." – Krista | | 24:19 | "What a great job as a child." – Clark (on scam vigilance)| | 29:12 | "I'm like the kid from Kirkland because we booked our hotel packages on...Costco Travel." – Clark |

Timestamps for Key Segments

• Relocating Overseas: Trends & Incentives – 01:37 – 06:53
• Airline Carry-On Questions & Consumer Travel Tips – 06:59 – 11:12
• HSA Withdrawals Clarified – 11:26 – 12:32
• Free Dinner/Annuity Sales Pitch Cautions – 12:32 – 15:19
• Credit Card Debt: Rate Negotiation & Balance Transfer Strategies – 18:52 – 23:26
• New Scam Story & Elder Fraud Protection – 23:26 – 25:20
• Saving on Cell Phone Plans – 25:20 – 26:39
• Clark’s Dog Naming and Discount Shopping Anecdotes – 26:39 – end

Tone and Style

Clark’s tone remains informal, witty, and directly practical, often poking fun at himself and always keeping consumer empowerment at the forefront. Krista plays the foil, adding levity, listener perspectives, and questions. The episode is peppered with playful banter, especially around Clark’s legendary frugality, his love for travel, and his penchant for warehouse club bargains.

Summary for New Listeners

This episode is a comprehensive guide for anyone considering relocating overseas, struggling with credit card debt, or simply looking to save on everyday expenses (from cell phone plans to travel). Clark and Krista provide actionable advice, real listener stories, and humorous takes on personal finance pitfalls. The show is perfect for those looking for straightforward, relatable guidance to save more, spend less, and avoid financial scams.

For more money-saving tips or to ask Clark a question, visit www.clark.com/askclark.