The Clark Howard Podcast

Episode: 12.29.25 – Save On Ride Share Services / Up In ARMs – The Adjustable-Rate Mortgage

Date: December 29, 2025
Host: Clark Howard
Co-host/Producer: Krista

Overview

In this holiday edition and the final episode of 2025, Clark Howard focuses on two key themes:

• Maximizing savings when using ride share services, especially as New Year's Eve approaches
• Understanding the renewed popularity—and risks—of adjustable-rate mortgages (ARMs) as interest rates and housing market conditions evolve

Clark and Krista also field listener questions on topics including credit freezes and insurance, prenuptial agreements, “junk fees,” travel booking websites, car warranties, and the security of digital wallets.

Key Discussion Points & Insights

1. New Year's Eve, Ride Shares, and Robo Taxis

(00:43–08:44)

• New Year's Eve is Uber and Lyft’s biggest night. Clark reminds listeners that some communities offer free rides rather than using paid ride-shares.
• Comparison shopping is key. Clark cites a study that found over 85% of people only ever check one ride-share app before booking, missing out on potential savings.
  • "Every ride I ever take, I look at the Uber price, I look at the Lyft price, and whichever is cheaper, that's who I'm using. Turns out roughly 85% of people never comparison shop." – Clark Howard (03:34)
• Public transit still rules for cost savings, but not always practical—example: recent airport trip in Philadelphia.
• Habit harms your wallet. Clark urges breaking the “just use what you know” pattern when shopping for goods and services.
• Robo taxis are on the rise. Waymo and Tesla are expanding autonomous taxi services; in 2026, more cities will have these options, creating a new layer of comparison shopping.
  • "The robo taxi market is going to become so common..." – Clark Howard (05:49)
• Funny side story: Producer Krista shares a viral video where a Waymo robo taxi drives into the middle of a police standoff, contrasting with Clark’s experience of Tesla’s Full Self-Drive properly pulling over for an ambulance.

Notable Quotes:

• "We become creatures of habit...The more you comparison shop, the better." – Clark Howard (05:14)
• “By the fifth time...[riding a robo taxi] is totally routine.” – Clark Howard (06:24)

2. Listener Q&A – Credit Freezes and Insurance Rates

(08:44–12:06)

• Does a frozen credit report affect shopping for auto/homeowners insurance?
  • Generally, in most states, insurers can access your credit report to set rates even if the report is frozen, but not everywhere.
  • If denied or quoted high rates, you may need to “thaw” your credit temporarily.
  • "Insurers may well charge more to somebody with a credit report that's not so hot than they charge somebody who's had a DUI, DWI." – Clark Howard (10:23)

3. Prenuptial Agreements and Debt in Marriage

(12:06–14:07)

• Fred from Wisconsin asks about prenups due to his fiancée’s significant debt.
  • Clark advises consulting a lawyer, especially since Wisconsin is a community property (“marital property”) state.
  • Debt prior to marriage may remain separate if kept separate, but all debts acquired during marriage are usually shared.
  • Navigating prenup talks requires care and compassion.

Notable Quotes:

• "If you're worried about issues like that, you consult a lawyer. You don't consult me. I am not a lawyer." – Clark Howard (12:58)

4. Junk Fees – A Call for Transparency

(14:07–16:29)

• Fees tacked onto restaurant bills or retail purchases are “junk fees.” Clark is adamant they should be clearly disclosed up front.
• He compares to the airline and hotel industries, and spotlights healthcare as egregiously non-transparent.
  • "For free markets to work well, you have to have disclosure, clear price disclosure before somebody makes a decision." – Clark Howard (15:01)

5. Adjustable-Rate Mortgages (ARMs) Are Back

(18:23–22:29)

• ARMs are making a comeback, especially for refinances and home purchases.
  • Usually fixed for the first 5 years, then adjust annually.
  • Initial rates are lower, tempting cost-stretched buyers.
  • Real risk: after 5 years, if rates are higher or there’s little home equity (common with small down payments), payments can increase sharply and refinancing may not be possible.
  • "What a bad pun—mortgaging the future by going into an ARM..." – Clark Howard (19:19)
• ARMs might be appropriate if:
  • You have significant equity
  • You plan (not just hope) to leave the property within the fixed period
  • The rate/payment savings are substantial
• Clark’s bottom line:
  • For most new buyers, especially with little down, ARMs are too risky—even if it means waiting to buy.
  • "I can't come up with a circumstance I would [recommend] it even if it means you have to pass for now on buying a home." – Clark Howard (22:20)

6. Listener Q&A – Travel Booking, Car Warranties, Digital Wallets

(22:29–29:46)

a. Google Flights and Third-Party Sites

(22:29–25:25)

• Clark warns against booking flights through unfamiliar (“UFO”) or even reputable third-party sites that appear via Google Flights due to difficulties with customer support in the event of cancellations or problems.
  • “Even the ones that are legit are not necessarily safe to use because any problem—the airline starts the finger pointing.” – Clark Howard (23:06)
• The risk applies even to travel credit card booking portals.

b. CarMax Extended Warranties (MaxCare)

(25:25–27:01)

• Clark has heard no complaints about CarMax MaxCare warranties, which distinguishes them from most third-party warranties sold at dealerships.
• If CarMax stands behind the warranty, they may be safer.

c. Digital Wallet Security (Google Pay/Apple Pay)

(27:01–29:46)

• Clark explains that, as best he knows, using Google Pay via Chrome browser or Chromebook is as secure as using it on an Android device.
• He encourages digital wallet usage for its enhanced security over typing card numbers or physical card use.

Notable Quotes:

• “Using the pay apps is a more secure way to protect yourself.” – Clark Howard (29:25)

Memorable Moments & Quotes with Timestamps

• “Every ride I ever take, I look at the Uber price, I look at the Lyft price, and whichever is cheaper, that's who I'm using.” (03:34)
• “[Robo taxis are] so clearly part of our future...People will not even need to own their own vehicles because vehicles sit idle 90 some odd percent of the time.” (08:08)
• “For free markets to work well, there has to be disclosure, clear price disclosure before somebody makes a decision.” (15:01)
• “Mortgaging the future by going into an ARM with the hope that sometime in the next five years rates are going to be lower enough that you can then refi...” (19:19)
• "I can't come up with a circumstance I would [recommend an ARM] even if it means you have to pass for now on buying a home." (22:20)
• “Even the ones that are legit are not necessarily safe to use because any problem the airline starts the finger pointing.” (23:06)
• “Using the pay apps is a more secure way to protect yourself.” (29:25)

Important Segment Timestamps

• Ride Shares & Robo Taxis: 00:43–08:44
• Credit Reports & Insurance: 08:44–12:06
• Prenuptial Agreements/Debt: 12:06–14:07
• Junk Fees: 14:07–16:29
• Adjustable-Rate Mortgages (ARMs): 18:23–22:29
• Travel Booking Cautions: 22:29–25:25
• CarMax Warranty: 25:25–27:01
• Digital Wallet Security: 27:01–29:46

Closing

Clark wraps up the year with gratitude for his audience, focusing—as ever—on actionable advice to help listeners save more, spend less, and avoid rip-offs. He wishes everyone a happy and financially secure 2026.

For more tips, ask Clark a question at clark.com/askclark or subscribe to the free daily newsletter for ongoing consumer advice.