Summary
The applicant, a 57-year-old employee of a defense contractor, faced financial issues primarily due to circumstances beyond her control, including family illness and divorce. She successfully settled or paid nine debts totaling $13,390 and is actively working to resolve five remaining debts totaling $7,068. The judge found that the applicant's financial issues were mitigated by her demonstrated efforts to address her debts and her current financial stability, resulting in a granted security clearance under Guideline F.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: 2008 judgment obtained on behalf of a telecommunications company for $813 (1.a). medical debt for $412 (1.b). medical debt for $402 (1.c). medical debt for $294 (1.d). telecommunications collection debt for $1,298 (1.e). medical debt for $931 (1.f). medical debt for $108 (1.g). collection account for an apartment complex for $3,319 (1.h). utility debt for $152 (1.i). collection for a medical debt for $283 (1.j). past-due collection debt for $347 (1.k). charged-off debt resulting from the repossession of her vehicle for $11,342 (1.l). collection debt for $451 (1.m). collection debt for $891 (1.n). bank-collection debt for $243 (1.o). medical debt for $3,497 (1.p).
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(c), AG ¶ 20(d). The decision turned on the following: The applicant settled or paid nine debts totaling $13,390, demonstrating a commitment to resolving her financial issues; She has a track record of making payments and is actively working on a plan to resolve her remaining debts; The financial problems were largely due to circumstances beyond her control, such as family illness and divorce.
Why the Applicant Prevailed
- The applicant settled or paid nine debts totaling $13,390, demonstrating a commitment to resolving her financial issues.
- She has a track record of making payments and is actively working on a plan to resolve her remaining debts.
- The financial problems were largely due to circumstances beyond her control, such as family illness and divorce.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- 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
Key Rule Quoted
“The concept of meaningful track record necessarily includes evidence of actual debt reduction through payment of debts.”
Procedural Posture
- SOR issuedAug 12, 2014
- Answer filedSep 19, 2014
- Hearing heldOct 13, 2015Applicant waived advance notice requirement.
- Decision dateOct 30, 2015
Cite For
- Mitigation of Financial Considerations Under Guideline F
- Demonstrated Good Faith Efforts in Debt Repayment
- Impact of Personal Circumstances on Financial Stability