Summary
A 52-year-old logistics coordinator was denied a security clearance due to financial considerations under Guideline F. The Statement of Reasons (SOR) detailed multiple outstanding debts, including two judgments for $9,362 and $22,722, respectively. Additionally, the SOR listed ten medical collection debts totaling approximately $15,718, three insurance debts amounting to $1,476, $1,201, and $1,094, and one miscellaneous debt for $743.
The applicant admitted to these debts, which collectively totaled approximately $50,000. She attributed her financial difficulties primarily to a divorce and medical expenses. Disqualifying conditions under Adjudicative Guidelines Paragraphs 19(a) and 19(c) were raised.
Despite her claims of hardship, the judge found that the applicant failed to provide sufficient documentation demonstrating efforts to resolve her debts or maintain contact with creditors. Consequently, there was insufficient evidence of a good-faith effort to repay overdue creditors, leading to the denial of her security clearance eligibility.
Why the Applicant Was Denied
- The applicant admitted to multiple debts totaling approximately $50,000, including judgments and medical collections.
- She did not provide documentation showing efforts to resolve her debts or maintain contact with creditors.
- The judge found insufficient evidence of a good-faith effort to repay overdue creditors.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
Procedural Posture
- SOR issuedApr 25, 2025
- Answer filedApr 30, 2025
- Hearing heldAug 6, 2025via Microsoft Teams
- Decision dateNov 25, 2025Decision delayed due to federal government shutdown.
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Importance of Documented Efforts to Resolve Debts
- The Impact of Financial Distress on Security Clearance Eligibility