Clark Howard Warns of Travel Payment Scams & New Car Price Shock

Protecting Travel Payments

• ⚠️ Travel suppliers asking for payment by check or direct debit, offering a discount, are a major red flag, especially if they are on credit watch.
• 💡 If a cruise line or tour operator goes bust, paying by credit card offers the best chance of reclaiming your money, as credit card companies have a financial incentive to refund you.
• ✈️ True trip insurance that specifically covers supplier default is crucial for protecting your payment if a travel company fails.
• 🧐 Always review trip insurance policies within the allowed review period to ensure they cover supplier default and get a refund if they don't meet your needs.

Navigating Travel Booking Issues

• 🏨 When booking through platforms like Expedia, be aware that customer service can be poor when problems arise, and they may side with the property.
• 🔍 If a hotel or property changes terms after booking, try to cancel and rebook elsewhere, and consider using resources like elliot.org to find contacts for resolution.
• 📅 For booking flights to Europe, consider discount carriers out of smaller airports and set up fare alerts on Google Flights for the best deals, typically 2-3 months in advance.

Car Buying Strategies

• 🚗 The average new car price has surpassed $50,000, driven partly by the increased cost and lifestyle appeal of pickup trucks.
• 💡 Traditional cars are still available around $30,000, offering a more affordable alternative to the average price.
• 💰 Buying used vehicles remains significantly cheaper than buying new, with used electric vehicles being a particularly good deal.
• 🛠️ When buying a used car, have it inspected by a mechanic of your choice, and use any disclosed minor issues as leverage for negotiating a better price.
• ⚡ For used EVs, focus inspections on undisclosed body damage and check battery degradation by comparing the current expected range at full charge to the original manufacturer's stated range.
• 🤔 If you overpaid for a car during the pandemic, consider selling it if you dislike it and can afford a new vehicle without significantly increasing your monthly payment, but carefully research any new car, like the Rivian, for reliability concerns.

Financial & Holiday Message

• 📈 High earners can significantly boost their long-term financial security by continuing to contribute to their 401(k)s.
• 🙏 Clark Howard extends a Thanksgiving message, emphasizing gratitude for listeners and wishing them joy, connection, and reconnection during the holiday season.