Summary
The applicant, a 35-year-old single father of two, sought a security clearance under Guideline F concerning financial considerations. He had a history of delinquent debts, including a charged-off second mortgage and several collection accounts, but successfully mitigated these concerns by demonstrating that all debts were resolved or settled. The judge found that the applicant acted responsibly in addressing his financial issues and concluded that he was financially stable, granting him eligibility for a security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: charged-off account (second mortgage) in the amount of $75,561 (1.a). collection account in the amount of $1,663 (1.b). charged-off account for consumer debts in the amount of $5,000 (1.c). charged-off account in the amount of $675 (1.d). charged-off account in the amount of $251 (1.e).
The judge granted the clearance. The government raised disqualifying conditions F.1.a, 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: All debts were resolved or settled, demonstrating financial responsibility; The applicant acted responsibly in attempting to modify his mortgage and sought legal assistance for debt relief; The applicant's financial issues were largely beyond his control, mitigating concerns about his reliability.
Why the Applicant Prevailed
- All debts were resolved or settled, demonstrating financial responsibility.
- The applicant acted responsibly in attempting to modify his mortgage and sought legal assistance for debt relief.
- The applicant's financial issues were largely beyond his control, mitigating concerns about his reliability.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- 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
- F.2.bappliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- F.2.cappliedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- F.2.dappliedThe Individual Initiated 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 19, 2015
- Answer filedDec 15, 2015
- Hearing held—Decided on the written record.
- Decision dateOct 13, 2016
Cite For
- Mitigation of Financial Concerns Under Guideline F
- Responsible Actions Taken to Resolve Debts
- Whole-person Concept in Security Clearance Evaluations