Summary
The applicant, a 47-year-old military retiree, faced security concerns under Guideline F due to financial difficulties stemming from a reduction in income. He successfully mitigated these concerns by demonstrating that his largest debt was settled and that his current credit report showed no past-due accounts. The judge concluded that the applicant's previous financial issues were unlikely to recur and did not cast doubt on his current reliability and trustworthiness.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant admitted SOR ¶ 1.a. ($15,789) was settled and paid in January 2016 (1.a). The debts in SOR ¶ 1.b ($370) became delinquent in February 2008 (1.b). The debts in SOR ¶ 1.c ($1,904) became delinquent in February 2008 (1.c). The debts in SOR ¶ 1.d ($881) became delinquent in February 2008 (1.d).
The judge granted the clearance. The government raised disqualifying conditions F.1.a, F.1.b, F.1.c. The judge applied mitigating conditions F.2.a, F.2.b, F.2.c, F.2.d. The decision turned on the following: The applicant settled his largest delinquent debt of $15,789 in January 2016; The applicant's current credit report showed no past-due or delinquent accounts; It had been nine years since the applicant experienced financial difficulties, indicating unlikely recurrence.
Why the Applicant Prevailed
- The applicant settled his largest delinquent debt of $15,789 in January 2016.
- The applicant's current credit report showed no past-due or delinquent accounts.
- It had been nine years since the applicant experienced financial difficulties, indicating unlikely recurrence.
Conditions Referenced
- F.1.araisedInability to Satisfy Debts
- F.1.braisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- F.1.craisedA History of Not Meeting Financial Obligations
- F.2.aappliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual’s Current Reliability, Trustworthiness, or Good Judgment
- F.2.brejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe reduction in income was due to nonjudicial punishment.
- F.2.cnotedThe Individual Has Received or Is Receiving Counseling for the Problem From a Legitimate and Credible Source
- F.2.dappliedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“A security clearance adjudication is not a debt collection procedure. It is a procedure designed to evaluate an applicant’s judgment, reliability, and trustworthiness.”
Procedural Posture
- SOR issuedNov 30, 2015
- Answer filedMar 3, 2016
- Hearing held—Decided on the written record.
- Decision dateJun 13, 2017
Cite For
- Mitigation of Financial Concerns Under Guideline F
- Impact of Settled Debts on Security Clearance Eligibility
- Whole-person Concept in Security Clearance Adjudications