Summary
A 39-year-old defense contractor was denied a security clearance under Guideline F (Financial Considerations) due to unresolved delinquent debts totaling $17,760. These debts primarily originated from her divorce.
The Statement of Reasons specifically cited a $7,595 credit card debt that resulted in a judgment and a $581 cell phone account debt. While the applicant made some progress in addressing one debt, the decision highlighted insufficient efforts to resolve the remaining obligations.
The denial was based on the applicant's unresolved delinquent debts, which raised security concerns. The applicant had made no payments towards the majority of her Statement of Reasons debts in the last two years and failed to provide documentation of good faith efforts to resolve them, leading to concerns about her financial reliability and judgment.
Why the Applicant Was Denied
- The applicant has unresolved delinquent debts totaling $17,760, which raise security concerns under Guideline F.
- The applicant made insufficient progress in resolving her debts, with no payments made towards the majority of her SOR debts in the last two years.
- The applicant did not provide documentation of good faith efforts to resolve her debts.
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 Largely Beyond the Person's ControlThe applicant's financial problems initially resulted from underemployment and divorce.
- AG ¶ 20(c)rejectedReceived or Is Receiving CounselingThe applicant did not show any reduction in her SOR debts despite receiving financial counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant did not establish good faith in the resolution of her SOR debts.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute the Legitimacy of the DebtThe applicant did not provide documentation supporting her disputes of any debts.
Key Rule Quoted
“Failure or inability to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness, and ability to protect classified information.”
Procedural Posture
- SOR issuedApr 30, 2009
- Answer filedJun 15, 2009
- Hearing heldOct 14, 2009
- Decision dateNov 12, 2009
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations Under Guideline F
- Insufficient Evidence of Good Faith Efforts to Resolve Debts
- Impact of Financial Issues on Security Clearance Eligibility