Summary
The applicant, a 29-year-old single mother with a high school diploma and an Associate’s degree, sought a security clearance under Guideline F due to significant financial issues, including approximately $22,000 in delinquent debts. Despite citing personal hardships contributing to her financial situation, the judge found insufficient evidence of efforts to resolve her debts, resulting in a denial of her application.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant is indebted to a creditor in the amount of $3,949 for an account that was charged off. This was her vehicle, a Kia Optima, that was voluntarily repossessed in 2019, because she could not afford to continue to make the payments (1.a). Applicant is indebted to a creditor in the amount of $429 for an account that was charged off. This was a credit card that she was a cosigner on with her father (1.b). Applicant was indebted to a creditor in the amount of $996 for an account that was placed for collection. This was tuition for a phlebotomy class she took (1.c). Applicant was indebted to a creditor in the amount of $1,219 for an account that was placed for collection. This was a credit card Applicant used for overspending (1.d). Applicant is indebted to a creditor in the amount of $1,205 for an account that was placed for collection. This was a credit card Applicant used for overspending (1.e). Applicant is indebted to a creditor in the amount of $868 for an account that was placed for collection. This was a credit card Applicant used for overspending (1.f). Applicant is indebted to a creditor in the amount of $7,990 for an account that was charged off. This was a vehicle that Applicant’s parents gave her (1.g). Applicant was indebted to a creditor in the amount of $1,631 for an account that was charged off. Applicant is not sure what the debt is for (1.h). Applicant was indebted to a creditor in the amount of $826 for an account that was charged off. This was a credit card used for Victoria’s Secret (1.i). Applicant is indebted to a creditor in the amount of $369 for an account that was charged off. This is a credit card used for to purchase items at a store called, Buckle (1.j). Applicant is indebted to a creditor in the amount of $855 for an account that was charged off. This was a credit card she used for dental work (1.k). Applicant was indebted to a creditor in the amount of $814 for an account that was placed for collection. This is for the family plan cellular phone service (1.l). Applicant was indebted to a creditor in the amount of $155 for an account that was placed for collection. This is for cellular phone service (1.m). Applicant is indebted to a creditor in the amount of $1,153 for an account that was charged off. This was a Macy’s credit card Applicant used to purchase items (1.n).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The decision turned on the following: The applicant admitted to multiple delinquent debts totaling approximately $22,000; The applicant failed to demonstrate a good faith effort to resolve her debts or establish payment plans; The judge found that the applicant's financial irresponsibility raised doubts about her reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant admitted to multiple delinquent debts totaling approximately $22,000.
- The applicant failed to demonstrate a good faith effort to resolve her debts or establish payment plans.
- The judge found that the applicant's financial irresponsibility raised doubts about her reliability and trustworthiness.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
Key Rule Quoted
“Failure to live within one's means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual's reliability, trustworthiness, and ability to protect classified or sensitive information.”
Procedural Posture
- SOR issuedJul 6, 2023
- Answer filedApr 23, 2024
- Hearing heldAug 14, 2024
- Decision dateSep 30, 2024
Cite For
- Insufficient Evidence of Debt Resolution Efforts Under Guideline F
- Impact of Financial Irresponsibility on Security Clearance Eligibility
- Criteria for Evaluating Financial Considerations in Security Clearance Cases