Summary
A 32-year-old single male defense contractor employee was denied a security clearance under Guideline F (Financial Considerations) due to unresolved financial issues. The applicant admitted to over $15,000 in delinquent debts, which raised concerns about his reliability and trustworthiness.
Specifically, the applicant acknowledged two outstanding bank credit card judgments totaling $4,410 and $8,513, respectively. He claimed these debts overlapped and, as of September 21, 2015, had made no arrangements with either creditor, stating plans to seek legal help. These debts remained unresolved. Additionally, he admitted a $2,061 past-due mobile-phone debt, which he settled for a reduced amount in September 2015, and a $65 past-due medical debt, paid in full that same month.
Despite some partial payments, the judge found that the applicant's financial difficulties had persisted for several years without full resolution. The applicant also failed to provide evidence of financial counseling or a budget to demonstrate financial responsibility, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant admitted to having over $15,000 in delinquent debts, which raised concerns about his reliability and trustworthiness.
- The applicant did not provide evidence of financial counseling or a budget to demonstrate financial responsibility.
- The applicant's financial difficulties have persisted for several years without resolution.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Unlikely to RecurThe applicant's financial difficulties have been ongoing for several years.
- AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlNo unusual circumstances were presented to support this condition.
- AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue CreditorsThe applicant successfully paid two of the debts listed in the SOR.
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 issuedOct 31, 2014
- Answer filedJan 22, 2015
- Hearing held—Applicant requested a decision without a hearing.
- Decision dateJan 28, 2016
Cite For
- Financial Overextension as a Disqualifying Condition Under Guideline F
- Importance of Demonstrating Financial Responsibility for Security Clearance Eligibility
- Application of the Whole-person Concept in Security Clearance Decisions