Summary
A 34-year-old special operations dispatcher for a defense contractor was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The Statement of Reasons cited several delinquent debts, including two collection accounts, a cable TV bill, two medical bills, and a credit card debt. The applicant had also filed for Chapter 13 bankruptcy twice. These issues raised disqualifying conditions related to financial irresponsibility and a history of not meeting financial obligations.
However, the applicant successfully mitigated these concerns. She demonstrated a more mature approach to her financial affairs, making good-faith efforts to repay overdue creditors through her Chapter 13 bankruptcy filings. She had accrued no new debts and was current with all obligations not included in her bankruptcy plan.
The judge found that the applicant had shown improved responsibility in managing her financial matters, applying mitigating conditions that acknowledge a good-faith effort to resolve debts and a demonstrated change in financial behavior. Consequently, her security clearance was granted.
Why the applicant prevailed
- The applicant has made a good-faith effort to repay overdue creditors through Chapter 13 bankruptcy.
- She has accrued no new debts and is current with her obligations not covered in bankruptcy.
- The applicant has demonstrated improved responsibility in managing her financial matters.
Conditions referenced
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A6.1.3.3rejectedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's ControlThe applicant's financial issues were primarily due to her own irresponsible behavior.
- E2.A6.1.3.4rejectedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThere is no evidence of the applicant seeking financial counseling.
- E2.A6.1.3.6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Bad DebtsThe applicant is currently paying the bankruptcy trustee and has made efforts to resolve her debts.
Key rule quoted
“No one has a 'right' to a security clearance.”
Procedural posture
- SOR issuedJun 19, 2006
- Answer filedJul 17, 2006Requested a decision without a hearing.
- Hearing held—No hearing was conducted.
- Decision dateNov 30, 2006
Cite for
- Mitigation of Financial Considerations Under Guideline F
- Good-faith Efforts to Repay Debts Through Bankruptcy
- Evaluation of Personal Responsibility in Financial Matters