The Clark Howard Podcast

Episode: 12.08.25 – Empowerment: Fitness Trackers / Home Equity: When A HELOC Makes Sense
Date: December 8, 2025
Host: Clark Howard | Co-host: Krista

Episode Overview

In this episode, Clark Howard puts the spotlight on individual empowerment—both in health and finances. The first half explores the evolving role of fitness trackers, including how wearables are rapidly advancing from simple step counters to powerful health monitors, even contributing to early medical diagnoses. The second half delves into the complexities of home equity: when tapping into it makes sense, the best strategies for doing so, and warnings against misusing this valuable asset. Throughout, Clark answers a variety of listener questions on HSAs, student loans, custodial Roth IRAs, savings bonds, and renter issues.

Key Discussion Points and Insights

1. Fitness Trackers—From Obsession to Empowerment

[00:40 – 07:35]

• Personal Health Data as Motivation:
  Clark discusses his personal use of multiple fitness trackers—an Oura ring, Samsung smartwatch, and Garmin device. He confesses his "obsession" with tracking health metrics.

  • Quote: “Having the data is not necessarily affirmation. It is drive. It drives me.” – Clark, [01:57]

• Emerging Medical Uses:
  A study presented at the American Medical Association convention and reported by the Financial Times found that Apple Watch EKG data could predict, with near-perfect accuracy, the onset of severe heart issues—thanks to AI and data analysis from wearable devices.

  • Quote: “We are moving into an era where consumer products we may already own... are able in advance to predict with near-perfect accuracy who has lurking within them serious heart problems.” – Clark, [03:01]

• Consumer Devices in Health:
  Clark shares his brother's experience using a Kardia 6-lead device, which detected an irregular heartbeat and allowed for swift medical intervention.

  • “Ignorance is not bliss.” – Clark, [04:35]

• Lighthearted Interlude:
  Clark and Krista joke about Clark’s cracked Garmin device. Krista teases, “Maybe you need to get an eye check, anyway!” [06:55] Clark contemplates reducing the number of wearables he uses, admitting he may “probably [be] overdoing it,” but insists it's about “trying to stay as healthy as I can for sure.” – Clark, [07:35]

2. Listener Q&A: Financial Empowerment

[07:43 – 15:01]

a. HSA Contributions: Dual Employer Coverage

• Question from Medora in Georgia: Both spouses required to use separate employer health plans (HDHPs)—can they benefit from two sets of HSA contributions?
• Clark’s Take:
  Both spouses may benefit from employer HSA contributions, but family and individual IRS limits apply.
  • Quote: “You will both be eligible to get that employer money, each from your separate employer. There's a max per individual and per family, but employers aren't giving you enough of that for sure.” – Clark & Krista, [09:16]

b. Best Used Cars for Average Income

• Question from Johnny in Michigan: What to buy for value and reliability?
• Clark’s Advice:
  • For used: Toyota Camry, Camry Hybrid, or RAV4 Hybrid.
  • Consumer Reports lists are the gold standard—also mentions Subaru for reliability.
  • Tip: Check library for free Consumer Reports access.
  • Quote: “The vehicles were overwhelmingly specific Subaru models and Toyota models.” – Clark, [10:45]

c. Teen Investor Starting a Custodial Roth IRA

• Question from Sergio, a 17-year-old in Indiana: Saved $1,000 from side jobs, wants to open a Roth IRA, recommendations?
• Clark’s Response:
  • Fidelity is recommended for minors close to 18, as it transfers control smoothly at adulthood.
  • Suggests investing in an indexed target retirement fund (latest date available, e.g., 2070).
  • Recommends depositing the lump sum rather than dollar-cost averaging for this scenario.
  • Quote: “You're awesome. I don't remember having you as a child, but you sound like what I would hope my children would be like.” – Clark, [11:54]

3. Feature Topic: Home Equity – When a HELOC Makes Sense

[18:20 – 23:19]

• Changing Homeownership Landscape:
  A growing share of Americans now own their homes outright—estimated at 40%—up from historical norms of 30%. Many hold low payments or significant equity, making it less appealing to move.

• When To Tap Home Equity:

  • Appropriate uses: Home repairs, major improvements, or necessary replacements (roof, etc.).
  • Clark’s Rule: Do not use home equity for lifestyle upgrades (cars, boats, credit card debt).
    • Quote: “The equity in that home should not be squandered on anything involving lifestyle. It should be about maintaining or improving the value of that home.” – [20:07]

• HELOC vs. Home Equity Loan: Which Is Better?

  • In the current interest rate environment (rates trending down): HELOCs, usually less favored, may actually be the better fit compared to term loans.
  • Product Nuances:
    • Loans: Best sourced from credit unions, typically in 5- or 10-year terms. Five years is the “sweet spot” for interest and term balance.
    • Lines: Favor those with “no or low closing costs” (often found at credit unions/small banks). Key detail—watch the interest rate floor to ensure you benefit from falling rates.
    • Quote: “Right now it might be sweeter to do the home equity line rather than the loan.” – [21:53]

4. Listener Q&A: Financial Scenarios and Consumer Rights

[23:19 – 33:10]

a. Student Loans: Seeking Forgiveness

• Question from Brett in Ohio: Daughter-in-law owes $200,000+ in student loans after 20 years—next steps?
• Clark’s Process:
  • Categorize loans (public vs. private).
  • For federal loans: Check eligibility for repayment/forgiveness at ed.gov.
  • For private: “Paying minimums is a trap,” must pay more than the minimum to avoid lifetime debt.
  • Quote: “A counselor is not necessarily the path. It's information that's the path.” – Clark, [25:43]

b. Forced Internet Package Fee for Renters

• Question from Arnelia in Georgia: Rental company mandating internet fees not disclosed in lease—legal?
• Clark’s Advice:
  • Check lease for any clause allowing mandatory utility fees.
  • If no such provision, respond via certified mail refusing payment.
  • “Landlords tend to sometimes play fast and loose, and it's up to you to stand up for yourself.” – [27:55]

c. Redeeming Savings Bonds into a 529 Plan

• Question from Andy in Texas: Are proceeds from redeemed savings bonds tax-free in a 529?
• Clark’s Answers & Steps:
  • Yes, if bonds are in your name and you open a 529 as owner with the child as beneficiary, and funds are moved within 60 days.
  • Income limits apply for tax-free status.
  • Must report income (1099-INT) on tax return, then back out if eligible.
  • Quote: “Congress… is trying to encourage people to save in advance for those expenses so that you don't end up with student loans…” – Clark, [31:36]

Notable Quotes & Memorable Moments

• “Knowledge, properly stored, processed, is power. And that's what I want you to have.”
  — Clark, [00:44]

• “We are moving into an era where consumer products we may already own… are able in advance to predict with near-perfect accuracy who has lurking within them serious heart problems…”
  — Clark, [03:01]

• “Having the data is not necessarily affirmation. It is drive. It drives me.”
  — Clark, [01:57]

• (To a teen investing caller) “You're awesome. I don't remember having you as a child, but you sound like what I would hope my children would be like.”
  — Clark, [11:54]

• “Paying minimums is a trap to keep you in debt for the rest of your life.”
  — Clark, [25:08]

Timestamps for Key Segments

• [00:40] – Clark’s fitness-tracker habits and the health-tracking tech revolution
• [03:01] – Groundbreaking Yale/Apple Watch heart study
• [07:43] – Q&A: Dual-employer HSAs & contribution rules
• [09:34] – Q&A: Clark’s car-buying recommendations for 2025
• [11:26] – Q&A: Teen seeking advice on custodial Roth IRAs
• [18:20] – Feature Topic: Home equity, when/why/how to tap it
• [23:27] – Q&A: Student loan forgiveness process
• [26:53] – Q&A: Can landlords force renters into utility fees?
• [29:20] – Q&A: Moving savings bonds to a 529 plan for tax benefits

Final Thoughts

Clark wraps up with his hallmark message: use knowledge to empower yourself financially and help others do the same. The episode offers practical insights—from health and tech measures you can adopt today to strategic, nuanced financial decisions for mortgages, investing, and consumer rights.

“Learning ways to save more, spend less and avoid ever, ever, ever getting ripped off. Have a great day.”
— Clark Howard, [32:44]