Why flying solo may be more expensive (6 30 25)

Author

Anthony Hazzard
June 30, 2025

Do you utilize buy now, pay later plans? New scoring models mean that these plans may impact your credit scores. Find out all the details and hear our take on things later in this email. 

💵 Today’s Top Stories
seats in airplane

Delta was bizarrely penalizing solo travelers, charging them up to 70% extra. Here’s Clark’s No. 1 trick to avoid the surcharge if this happens again. Read more.

Antenna

Clark loves his digital antenna and gets a ton of channels for free. If reducing your expenses during high inflation is one of your goals this year, this is an easy place to start. Read more.

Credit Card

Redeeming most credit card points is simple: exchange them for cash back or a statement credit early and often. But travel rewards points are more nuanced. Here’s what Clark is doing lately. Read more.

Jobs

Whether you’re looking for the right opportunity to wind down your career or for a way to stay active and make a bit of money in retirement, these resources will help. Read more.

Streaming

Are you looking for kid-friendly streaming TV options? DirecTV has a new kid-friendly streaming service worth considering. Read more.

🏠️ Today’s Current Mortgage Rates

According to Freddie Mac, 30-year mortgage rates are 6.77% and 15-year rates are 5.89% as of June 26, 2025. The following chart shows the 30-year mortgage rate trend over the last year.

💵 ‘Buy Now, Pay Later’ Now Impacts Credit Scores

“Buy now, pay later” (BNPL) or “pay in four,” popularized in countries like Australia before becoming a viral trend in the United States starting a handful of years ago, may get even worse.

One of the silver linings before was that missed payments on BNPL loans weren’t always reported on your credit score, depending on the company originating the loan.

But Fair Isaac Corp., the company behind FICO credit scores, just announced that its new scoring models will factor in BNPL loans for the first time.

Clark warned of the risky installment loans in 2022 when they were in their awkward pre-teen phase in America.

“Because of human behavior and psychology, this is going to continue to grow like wildfire,” Clark said then. “And people are going to use this by the many hundreds of billions of dollars. But it doesn’t mean they should be doing it and that it’s a good idea. Because it’s not.”

The number of Americans using BNPL annually has nearly doubled from 2021 and isn’t all that far from 100 million.

Worse, reports Sherwood, “nearly one in four Americans with FICO scores under 600 have used BNPL, compared to just 2.8% of the 800-plus club, those with near perfect credit … 40% of low-income BNPL users paid late, compared to just 13% of higher-income households.”

So stick this one in a similar ballpark as predatory payday loans. It can ruin your credit fast and cost you some real money in fees – not to mention encouraging you to spend more money than you should.

It has become so ubiquitous in a world of multiple payment options that you can even split your burrito payment into multiple installments. Our take: avoid them.

📊 Stat of the Day

📈 2.7%: Core inflation excluding food and energy in May. That’s 0.2% higher than April and higher than expectations. The personal consumption expenditures price index (PCE) is a key metric the Fed tracks. One analyst says it may “keep hopes alive” for a July rate cut.

💰️ Deal Alert: Today’s Top Deals
Patriotic
Wayfair
🎙️ Podcast

It’s time for "Clark Stinks!" Christa reads the latest "Clark Stinks!" submissions and Clark responds. Also, Capital One just agreed to a massive $425 million settlement after being accused of "cheating" customers out of higher interest rates on their savings accounts. But it's not just Capital One! Clark reveals how other major financial institutions like Schwab and Fidelity also offer a confusing array of choices, some paying puny interest and others paying high rates. You work hard for your money – don't let your bank play games with it!

☎️ Need Money Help?

The Team Clark Consumer Action Center is a free helpline that can help you navigate your money questions. Call 636-492-5275. Visit clark.com/cac for more information.

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