The Clark Howard Podcast
The Clark Howard Podcast

10.07.26 Interest Rates: Both Sides Of The Coin

October 7, 2026

AI Summary

5 min read

Chase Bank, the nation's largest, is paying savers 0.01% on their money. Clark Howard calls it "an insult to your intelligence." Meanwhile, you can earn 4.5% on the same idle cash with an online bank, a credit union, or a small community bank — no heavy lift required. That gap is the central tension of this episode: rising interest rates are punishing borrowers, but they are handing savers an opportunity that most are leaving on the table.

The saver's moment

The reason rates are climbing, Howard explains, is that "the world has lost faith in the U.S. government and the spending by the U.S. government." Reckless federal spending and the resulting deficit have pushed up the interest the government must pay to finance its debt through Treasury auctions. That, combined with inflation, has lifted rates across the board — on mortgages, home equity lines, credit cards, everything. But the flip side is that savers should earn more.

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What you'll learn

  • 1 Timestamped Outline
  • 2 (00:48) **Introduction: The Two Sides of Higher Interest Rates** - Clark frames the episode around the dual impact of rising rates: bad for borrowers, good for savers.
  • 3 (01:50) **The Big Bank Rip-Off: Chase Pays 0.01%** - Clark reveals what the nation's largest bank pays savers and calls it an insult.
  • 4 (03:43) **Why Rates Are Rising: Government Spending and Lost Trust** - Clark explains the macro forces driving interest rates higher.
  • 5 (04:46) **What Savers Should Do Now** - Clark urges active management of savings to overcome inflation.
  • 6 (06:12) **Listener Question: 17-Year-Old's First Job and Saving** - Clark advises a parent on how to get a teen started in investing.
  • 7 (08:25) **Listener Question: Free Streaming Services** - Clark answers where to get free ad-supported streaming.

+ Full timestamped outline available in the app

Guests on this episode

Clark Howard

Show Notes

Interest rates are up, and Clark addresses how to maximize savings, and what mortgage rates mean for the housing market.  The giant monster mega banks are paying an insulting 0.01% on savings accounts, essentially a zero return. What rate should you be looking for elsewhere?

Meanwhile, the housing market shifts yet again as 30-year mortgage rates hit 7%, crushed by geopolitical instability and inflation. However,  there’s a clear silver lining for potential buyers: high rates have stalled the market, forcing sellers into price cut capitulation. If you can afford the monthly payment, buying at a significantly lower purchase price now and refinancing down the road when rates drop is an enormous long-term advantage.

Plus, Christa shares your #AskClark questions and Clark gives his take. All this and more on the October 7, 2026, episode of The Clark Howard Show.  Submit your questions: Ask Clark.

  • Save More - Shop Bank Rates: Segment 1
  • Ask Clark: Segment 2
  • Mortgage Rates & Housing Capitulation: Segment 3
  • Ask Clark: Segment 4

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