ISCR Case 24-02485

Case Headnote

ISCR Case No. 24-02485

grantedSep 26, 2025· Hon. Charles C. Hale· hearing

Summary

A 31-year-old U.S. citizen sought security clearance under Guideline F (Financial Considerations) after admitting to 14 financial allegations. These issues primarily stemmed from a period of unemployment. The allegations included several charged-off accounts, such as a $7,271 account now on a payment plan, a $4,523 account paid in full, and a $972 student credit card. Other debts included a $4,695 account being enrolled in a payment plan, a $774 charged-off account, and a $177 charged-off insurance debt.

Additionally, the applicant had fully paid off accounts totaling $314 and $205 with the same creditor, a $1,149 charged-off account, and a $741 charged-off medical account. A cable box issue was noted, and a $7,114 delinquent car loan was charged off in September 2018. Crucially, a mortgage alleged to be $57,971 past due was found to be current.

The judge determined that the applicant's financial problems were largely resolved through payment plans and demonstrated responsible financial behavior, including making regular payments and effective budgeting after re-employment. Consequently, eligibility for access to classified information was GRANTED.

Why the Applicant Prevailed

The applicant's financial issues were attributed to unemployment and were largely resolved through payment plans.
The applicant demonstrated responsible financial behavior by making regular payments and budgeting effectively after regaining employment.

Conditions Referenced

Disqualifying

AG ¶ 19(a)raisedInability to Satisfy Debts
AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations

Mitigating

AG ¶ 20(a)appliedBehavior Happened so Long Ago or Under Circumstances Unlikely to Recur
AG ¶ 20(b)appliedConditions Resulting in Financial Problems Were Largely Beyond the Person's Control
AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue Creditors
AG ¶ 20(c)rejectedReceived Financial CounselingThe applicant did not provide evidence of financial counseling.
AG ¶ 20(e)rejectedReasonable Basis to Dispute Legitimacy of Past-due DebtThe applicant did not document her basis for disputes.

Key Rule Quoted

“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
— Executive Order 10865

Procedural Posture

SOR issuedJan 17, 2025
Answer filedApr 7, 2025Applicant requested decision based on written record.
Hearing held—Decision made without a hearing.
Decision dateSep 26, 2025

Cite For

Mitigation of Financial Issues Under Guideline F Due to Unemployment
Demonstration of Responsible Financial Behavior Leading to Favorable Outcomes
Consideration of the Whole-person Concept in Security Clearance Decisions

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	Applicant admitted all fourteen allegations in her Answer. $12,641	For Applicant	Unspecified Financial	Admitted	—	—	—
1.b	SOR 1.b, an account that had been charged off in the amount of $7,271, had been enrolled in a payment plan and that she was making regular monthly payments. $7,271	For Applicant	Credit Card Debt	Admitted	—	—	—
1.c	SOR 1.c for $4,695, was in the process of being enrolled in a payment plan to address the debt responsibly. $4,695	For Applicant	Unspecified Financial	Admitted	—	—	—
1.d	SOR 1.d, an account which had been charged off in the amount of $4,523, had been paid in full. $4,523	For Applicant	Unspecified Financial	Admitted	—	—	—
1.e	SOR 1.e ($314) and 1.h ($205), accounts with the same creditor, had been fully paid off. $314	For Applicant	Unspecified Financial	Admitted	—	—	—
1.f	SOR 1.f, a charged-off credit card in the amount of $972, was a student credit card. $972	For Applicant	Credit Card Debt	Admitted	—	—	—
1.g	SOR 1.g for $774, was charged off. $774	For Applicant	Unspecified Financial	Admitted	—	—	—
1.h	SOR 1.h ($205), accounts with the same creditor, had been fully paid off. $205	For Applicant	Unspecified Financial	Admitted	—	—	—
1.i	SOR 1.i pertained to a cable box that had never been picked up. $0	For Applicant	Unspecified Financial	Admitted	—	—	—
1.j	SOR 1.j, a charged-off debt to an insurance company for $177. $177	For Applicant	Unspecified Financial	Admitted	—	—	—
1.k	SOR 1.k, an account that had been charged off in the amount of $1,149, had been paid in full. $1,149	For Applicant	Unspecified Financial	Admitted	—	—	—
1.l	SOR 1.l, a medical account that had been charged off in the amount of $741, had been paid in full. $741	For Applicant	Medical Debt	Admitted	—	—	—
1.m	SOR 1.m, a delinquent car loan for $7,114, was charged off in September 2018. $7,114	For Applicant	Auto Loan Debt	Admitted	—	—	—
1.n	SOR 1.n, her mortgage, which was alleged to be past due in the amount of $57,971, was current. $57,971	For Applicant	Mortgage or Home Loan Debt	Admitted	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

Applicant admitted all fourteen allegations in her Answer.

$12,641

For Applicant

Unspecified Financial

Admitted

—

1.b

SOR 1.b, an account that had been charged off in the amount of $7,271, had been enrolled in a payment plan and that she was making regular monthly payments.

$7,271

For Applicant

Credit Card Debt

Admitted

—

1.c

SOR 1.c for $4,695, was in the process of being enrolled in a payment plan to address the debt responsibly.

$4,695

For Applicant

Unspecified Financial

Admitted

—

1.d

SOR 1.d, an account which had been charged off in the amount of $4,523, had been paid in full.

$4,523

For Applicant

Unspecified Financial

Admitted

—

1.e

SOR 1.e ($314) and 1.h ($205), accounts with the same creditor, had been fully paid off.

$314

For Applicant

Unspecified Financial

Admitted

—

1.f

SOR 1.f, a charged-off credit card in the amount of $972, was a student credit card.

$972

For Applicant

Credit Card Debt

Admitted

—

1.g

SOR 1.g for $774, was charged off.

$774

For Applicant

Unspecified Financial

Admitted

—

1.h

SOR 1.h ($205), accounts with the same creditor, had been fully paid off.

$205

For Applicant

Unspecified Financial

Admitted

—

1.i

SOR 1.i pertained to a cable box that had never been picked up.

For Applicant

Unspecified Financial

Admitted

—

1.j

SOR 1.j, a charged-off debt to an insurance company for $177.

$177

For Applicant

Unspecified Financial

Admitted

—

1.k

SOR 1.k, an account that had been charged off in the amount of $1,149, had been paid in full.

$1,149

For Applicant

Unspecified Financial

Admitted

—

1.l

SOR 1.l, a medical account that had been charged off in the amount of $741, had been paid in full.

$741

For Applicant

Medical Debt

Admitted

—

1.m

SOR 1.m, a delinquent car loan for $7,114, was charged off in September 2018.

$7,114

For Applicant

Auto Loan Debt

Admitted

—

1.n

SOR 1.n, her mortgage, which was alleged to be past due in the amount of $57,971, was current.

$57,971

For Applicant

Mortgage or Home Loan Debt

Admitted

—

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Case Profile

Summary

Why the Applicant Prevailed

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION