Summary
A 46-year-old applicant was denied a security clearance due to financial considerations under Guideline F, specifically concerning 17 delinquent debts totaling approximately $42,800. The Statement of Reasons detailed various outstanding obligations, including multiple medical debts, several delinquent student loan accounts, a charged-off credit card, a delinquent telephone account, a judgment from 2005, and a debt from a repossessed vehicle in 2007.
While the applicant demonstrated some efforts to address her debts, such as making payments on one debt with a final payment due in January 2013, paying off a $53 debt, and making monthly payments on a charged-off credit card, these actions were deemed insufficient. She also stated an intent to research an unfamiliar medical debt.
Ultimately, the clearance was denied because the applicant had accumulated 18 delinquent debts since 2005 totaling over $42,000, and was deemed unwilling or unable to pay them. The applicant failed to provide sufficient evidence of good-faith efforts to repay or resolve her overdue creditors, and her personal financial statement indicated she had less than $10 remaining monthly to address these delinquent debts.
Why the Applicant Was Denied
- The applicant has accumulated 18 delinquent debts since 2005 totaling over $42,000 that she is unwilling or unable to pay.
- The applicant failed to provide sufficient evidence of good-faith efforts to repay her overdue creditors or resolve her debts.
- The applicant's personal financial statement indicated she has less than $10 remaining at the end of the month to pay delinquent debts.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedA History of Not Meeting Financial Obligations
- F.2.bappliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlApplicant experienced a period of unemployment from June 2009 to May 2010 that was beyond her control and contributed to her financial problems.
- F.2.crejectedThe 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.drejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- F.2.erejectedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“A person who seeks access to classified information enters into a fiduciary relationship with the Government predicated upon trust and confidence.”
Procedural Posture
- SOR issuedNov 27, 2012
- Answer filedDec 21, 2012
- Hearing held—Decided on the written record.
- Decision dateApr 8, 2013
Cite For
- Failure to Mitigate Financial Concerns Under Guideline F
- Insufficient Evidence of Good-faith Efforts to Resolve Debts
- Impact of Unemployment on Financial Obligations