Summary
The applicant, a 34-year-old government contractor, faced security concerns under Guideline F due to delinquent accounts, including two judgments and several charged-off debts. She entered a repayment program in September 2004 and has made consistent payments, significantly reducing her debt. The judge found that the applicant mitigated the financial concerns, leading to a granted security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Collection account in the amount of $332.00 for a cable box that the company claims was not returned (1.a). Judgment in the amount of $631.00 for the last month's rent due the mobile home park (1.b). Judgment in the amount of $1,962.71 resulting from the purchase of an automobile (1.c). Charged off account in the amount of $1,695.00 (1.d). Deficiency owing after resale of a repossessed mobile home in the amount of $3,564.00 (1.e). Delinquent state taxes for the years 2000 through 2002 in the approximate amount of $1,690.00 (1.f).
The judge granted the clearance. The government raised disqualifying conditions DC 1, DC 3. The judge applied mitigating conditions MC 3, MC 4, MC 6. The decision turned on the following: Entered into a repayment program with a credit counseling service to address delinquent accounts; Made consistent payments, reducing total debt from over $8,000 to less than $6,000; Credibly explained reasons for not satisfying one judgment and demonstrated intent to resolve it.
Why the Applicant Prevailed
- Entered into a repayment program with a credit counseling service to address delinquent accounts.
- Made consistent payments, reducing total debt from over $8,000 to less than $6,000.
- Credibly explained reasons for not satisfying one judgment and demonstrated intent to resolve it.
Conditions Referenced
- DC 1raisedA History of Not Meeting Financial Obligations
- DC 3raisedInability or Unwillingness to Satisfy Debts
- MC 3appliedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's Control
- MC 4appliedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- MC 6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debt
Key Rule Quoted
“"The clearly consistent standard indicates that security clearance determinations should err, if they must, on the side of denials."”
Procedural Posture
- SOR issuedApr 13, 2005
- Answer filedMay 24, 2005
- Hearing heldAug 18, 2005
- Decision dateDec 8, 2005
Cite For
- Mitigation of Financial Concerns Under Guideline F
- Good-faith Efforts in Debt Repayment
- Impact of Personal Circumstances on Financial Behavior