The Clark Howard Podcast: April 7, 2025 Episode Summary

Host: Clark Howard
Co-Host: Krista
Episode Title: On Car Tariffs / 23andMe - Privacy Action Required
Release Date: April 7, 2025

Introduction

In the April 7th episode of The Clark Howard Podcast, Clark Howard delves into two pressing topics affecting consumers today: the ongoing impact of car tariffs and urgent privacy actions required for users of the genetic testing service, 23andMe. Alongside his co-host Krista, Clark provides insightful analysis, actionable advice, and addresses listener questions to empower individuals in making informed financial and personal decisions.

Discussing Car Tariffs

Clark Howard opens the discussion by expressing his deep-seated opposition to tariffs, particularly those imposed on the automotive industry. He shares his historical perspective, emphasizing the detrimental effects tariffs have had on the U.S. economy in the past.

“I hate tariffs. I've always hated tariffs. In history, when America imposed tariffs in the past, both led to depressions. Tariffs have a lot of negative effects.” [00:56]

Clark highlights the President's support for tariffs as part of his economic strategy, contrasting his own stance and distancing the conversation from political biases.

“This is not a political show. This is about your wallet.” [03:47]

Economic Impacts of Tariffs:

Clark explains that tariffs lead to reduced innovation by isolating the U.S. market, making it less attractive for global automakers to invest and innovate within the country. He cites the example of Hyundai's highly automated plant in Georgia, illustrating the future of automotive manufacturing as increasingly robotic and less labor-intensive.

“With tariffs, we become an island market. The auto market's a worldwide thing, and automakers will treat us as a backwater.” [04:23]

He further elaborates on the limited job creation in the automotive sector due to automation, noting that while the industry remains robust, the nature of employment has shifted dramatically.

“We have the largest number of people working in automotive manufacturing in the United States we've had in two generations right now.” [04:50]

Impact on Consumers:

Clark breaks down how tariffs translate to higher vehicle prices, even affecting models with minimal tariffs due to increased overall costs. He categorizes automakers based on their domestic manufacturing presence, explaining which brands will bear the brunt of the tariffs.

“Volkswagen, Mazda, and Volvo will have by far the largest impact due to tariffs.” [06:15]

He advises consumers on strategic purchasing decisions, emphasizing the benefits of buying vehicles from inventory before new tariffs take full effect to avoid price hikes.

“If you need a car right now, buying from inventory before tariff vehicles hit our shores is advantageous.” [08:00]

Used vs. New Market:

Clark discusses the ripple effect of tariffs on the used car market, predicting a rise in used vehicle prices as new cars become more expensive and demand shifts.

“Used vehicle prices will rise because new vehicles become more expensive, generating more demand for used cars.” [09:30]

Conclusion on Tariffs:

Reiterating his stance, Clark maintains that tariffs offer no benefits and only cause disruptions, except in cases of unfair trade practices like dumping.

“I don't like tariffs. There is no gray. The only time I think tariffs are appropriate is when a country is dumping.” [11:00]

Privacy Concerns with 23andMe

Transitioning to a personal data issue, Clark shifts focus to the implications of 23andMe's bankruptcy on users' genetic information privacy.

“With 23andMe bankrupt, the data is going to be sold to whoever the highest bidder is, no questions asked.” [20:00]

He warns listeners who have previously used 23andMe to take immediate action to secure their genetic information by deleting their data from the platform.

“If you're one of the 15 million who did the 23andMe genetic testing, you need to wipe your data clean immediately.” [21:00]

Action Steps for Users:

Clark provides a step-by-step guide for users to delete their 23andMe data:

1. Sign In: Access your 23andMe dashboard.
2. Delete Data: Navigate to Settings and initiate the data wipe.
3. Confirm Deletion: Respond to the confirmation email to finalize the process.

“Log into your account, go to Settings, and wipe out all your data. Then confirm via the email they send you.” [22:00]

He emphasizes the importance of safeguarding personal genetic information to prevent misuse by third parties.

“Genetic data is enormously valuable to a variety of industries. Protect your privacy by taking these steps.” [25:00]

Listener Questions and Expert Advice

Throughout the episode, Clark and Krista address several listener inquiries, offering practical solutions and expert advice on diverse topics.

1. Minivan Purchase Advice

Listener: Tyler from Missouri

Question: Advice on buying a new vs. used minivan considering a growing family.

Clark's Response:

Clark recommends purchasing a new minivan, particularly a hybrid model, due to the longevity and high demand for minivans. He suggests models like the Honda Odyssey, Kia Carnival, Toyota Sienna, and Chrysler Pacifica, highlighting the importance of warranties and fuel economy.

“Buy new. In the minivan space, people treat vans as a utility and drive them for many years. New models also offer hybrids with better fuel economy over a 10+ year cycle.” [14:02]

2. EV Lease Issues

Listener: Michael and Georgia

Question: Problems with their Honda Prologue EV lease and seeking options to terminate the lease.

Clark's Response:

Clark advises utilizing the Lemon Law, which protects consumers against defective vehicles. He emphasizes the urgency of acting swiftly and following the formal procedures outlined in Georgia's Lemon Law to potentially terminate the lease and recover funds.

“File a formal notice under the Georgia Lemon Law. It's a formal procedure, and automakers are required to address serious issues like uncontrollable acceleration.” [16:04]

3. Buying Vehicles Online Before Tariffs

Listener: Beth from North Carolina

Question: How to handle test drives when purchasing vehicles online and whether to buy foreign brands before tariffs.

Clark's Response:

Clark suggests using rental services like Turo to thoroughly test drive potential vehicle purchases over a few days. This approach provides a more comprehensive experience compared to short dealership test drives.

“Rent a vehicle through Turo for a day or two to truly experience it before making a purchase.” [19:23]

4. High Yield Savings Accounts

Listener: Jason from a unspecified location

Question: When to switch to higher APY savings accounts and potential downsides of frequent switching.

Clark's Response:

Clark reassures there are no downsides to switching savings accounts frequently to secure the highest APY. He also recommends considering one-year CDs for better rates if the funds are not needed imminently.

“There are no downsides to switching as often as you want to the best online savings account paying the highest interest.” [28:05]

5. Ambulance Coverage in Rural Areas

Listener: Tom from Wisconsin

Question: Necessity of purchasing additional ambulance coverage in a rural setting.

Clark's Response:

Clark explains the gaps left by the No Surprises Act, which does not cover ground-based ambulance services. He warns against aggressive sales tactics and advises caution, highlighting the importance of understanding insurance coverage thoroughly.

“Ambulance coverage in rural areas can be unpredictable. Be wary of aggressive sales and thoroughly understand what your insurance covers.” [29:35]

6. Preventing Family Member Scams

Listener: An anonymous frustrated family member

Question: Strategies to prevent an aging father from falling victim to scams and poor financial decisions.

Clark's Response:

Clark recommends implementing two-signature checks to prevent unauthorized expenditures and restricting phone communications to known contacts to reduce scam attempts. He underscores the necessity of a family intervention to protect vulnerable parents.

“Use two-signature checks and restrict your dad's phone to known contacts to prevent scams.” [31:59]

Final Thoughts

Clark Howard wraps up the episode by reiterating the importance of proactive financial management and personal data security. He encourages listeners to leverage available resources, such as clark.com, for personalized advice and to stay informed about economic changes that affect their wallets.

“Our mission is to empower you to save more, spend less, and avoid getting ripped off.” [31:59]

Key Takeaways:

• Car Tariffs: Negatively impact innovation, increase vehicle prices, and disrupt both new and used car markets. Consumers are advised to purchase from inventory before tariffs fully take effect.

• 23andMe Privacy: Users must act swiftly to delete their genetic data in light of 23andMe's bankruptcy to protect their privacy.

• Listener Advice: From purchasing minivans and handling defective EV leases to safeguarding against scams and optimizing savings accounts, Clark provides actionable solutions tailored to individual needs.

Notable Quotes:

• “Tariffs have a lot of negative effects.” [00:56]
• “This is not a political show. This is about your wallet.” [03:47]
• “Buy new. In the minivan space, people treat vans as a utility and drive them for many years.” [14:02]
• “File a formal notice under the Georgia Lemon Law.” [16:04]
• “Rent a vehicle through Turo for a day or two to truly experience it before making a purchase.” [19:23]
• “There are no downsides to switching as often as you want to the best online savings account paying the highest interest.” [28:05]
• “Ambulance coverage in rural areas can be unpredictable. Be wary of aggressive sales and thoroughly understand what your insurance covers.” [29:35]
• “Use two-signature checks and restrict your dad's phone to known contacts to prevent scams.” [31:59]

This episode of The Clark Howard Podcast offers valuable insights into how economic policies and personal decisions intersect with consumers' financial well-being. Whether navigating the complexities of tariffs or safeguarding personal genetic data, Clark equips listeners with the knowledge to make informed choices.