Summary
A 32-year-old U.S. Army veteran and database administrator was granted a security clearance despite concerns under Guideline F (Financial Considerations). The applicant faced allegations related to 14 delinquent debts, including a $14,526 deficiency after a vehicle repossession, a $6,049 charged-off credit card, and a $2,127 debt to a U.S. Government agency placed for collection in December 2013. Other debts ranged from $137 to $2,995, with collection or charge-off dates spanning from March 2006 to December 2013.
The applicant's financial difficulties were attributed to personal circumstances, including the death of his father. Disqualifying conditions AG ¶ 19(a) and AG ¶ 19(c) were raised. However, the judge applied mitigating conditions AG ¶ 20(c), AG ¶ 20(d), and AG ¶ 20(e), recognizing the applicant's significant efforts to address his financial issues.
These efforts included completing a financial management course and making good-faith attempts to resolve several debts, such as a voluntary garnishment for a government debt. Character references also supported his reputation for reliability and trustworthiness. The judge concluded that the applicant's actions demonstrated a commitment to financial responsibility, leading to the granting of his security clearance.
Why the Applicant Prevailed
- The applicant completed a financial management course, demonstrating a proactive approach to financial issues.
- He made good-faith efforts to resolve several debts, including a voluntary garnishment for a government debt.
- The applicant's reputation for reliability and trustworthiness was supported by character references from peers and family.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(c)appliedThe 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
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt Which Is the Cause of the Problem and Provides Documented Proof to Substantiate the Basis of the Dispute or Provides Evidence of Actions to Resolve the Issue
Key Rule Quoted
“A security clearance adjudication is an evaluation of an individual’s judgment, reliability, and trustworthiness. It is not a debt-collection procedure.”
Procedural Posture
- SOR issuedMar 11, 2016
- Answer filedApr 15, 2016
- Hearing heldAug 16, 2016
- Decision dateOct 12, 2016
Cite For
- Evaluation of Financial Responsibility Under Guideline F
- Good-faith Efforts to Resolve Debts as a Mitigating Factor
- Importance of Character References in Security Clearance Decisions