Summary
The applicant, a 44-year-old administrative assistant for a defense contractor, faced security concerns under Guideline F due to financial difficulties stemming from a divorce and her husband's unemployment. She successfully mitigated these concerns by demonstrating responsible actions towards resolving her debts, including bringing her mortgage and car loan current and making payments on several delinquent debts. The judge granted her eligibility for a security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: SOR ¶ 1.b alleges a debt of $25,610. This is Applicant’s car loan (1.b). SOR ¶ 1.c alleges a medical debt of $903. Applicant admitted to owing this debt (1.c). Applicant admitted to owing the delinquent debt of $4,420 to a collection company, as alleged in SOR ¶ 1.g (1.g). SOR ¶ 1.h alleges a delinquent debt of $2,908 to a collection company on behalf of a jewelry company. Applicant acknowledged responsibility for this debt (1.h). Applicant admitted that she was behind on her mortgage payments, as alleged in SOR ¶ 1.i (1.i).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(b), AG ¶ 20(d), AG ¶ 20(c), AG ¶ 20(e). The decision turned on the following: The applicant demonstrated a good-faith effort to repay overdue creditors and resolve debts; She brought her mortgage and car loan current and paid several delinquent debts; The applicant's financial situation improved due to her husband's employment and her steady job.
Why the Applicant Prevailed
- The applicant demonstrated a good-faith effort to repay overdue creditors and resolve debts.
- She brought her mortgage and car loan current and paid several delinquent debts.
- The applicant's financial situation improved due to her husband's employment and her steady job.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- 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(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“An applicant is not required to establish that she has paid every debt listed in the SOR. All that is required is that an applicant must demonstrate that she has 'established a plan to resolve [her] financial problems and taken significant actions to implement that plan.'”
Procedural Posture
- SOR issuedJun 30, 2008
- Answer filedAug 21, 2008
- Hearing heldApr 9, 2009
- Decision dateNot specified
Cite For
- Mitigation of Financial Considerations Under Guideline F
- Good-faith Efforts to Resolve Debts
- Impact of Personal Circumstances on Financial Obligations