Summary
The applicant, a 42-year-old woman employed as a reconsideration specialist, faced security concerns under Guideline F due to over $47,547 in delinquent debt primarily resulting from unemployment and medical issues. She demonstrated a good faith effort to resolve her debts, including refinancing her mortgage and making regular payments on her student loans. The judge granted her eligibility for a sensitive position, finding her financial issues mitigated by her current employment and proactive debt management.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: $94 medical account placed for collection (1.a). $114 medical account placed for collection (1.b). $154 department store account placed for collection (1.c). $177 medical account placed for collection (1.d). $2,717 account charged off as a bad debt in May 2004 (1.e). $6,258 medical account placed for collection in June 2004 (1.f). $1,737 department store account charged off as a bad debt (1.g). $2,944 charged off account (1.h). $78 medical account placed for collection (1.i). $3,683 medical account placed for collection (1.j). $5,216 defaulted student loan account (1.k). $3,952 defaulted student loan account (1.l). $9,951 defaulted student loan account (1.m). $7,878 defaulted student loan account (1.n). $1,543 medical account (1.o). $781 medical account (1.p).
The judge granted the clearance. The government raised disqualifying conditions FC DC 1, FC DC 3. The judge applied mitigating conditions FC MC 3, FC MC 4, FC MC 6. The decision turned on the following: The applicant demonstrated a good faith effort to resolve her delinquent debts; She and her husband have stable, well-paying jobs and can meet their financial obligations; The financial difficulties were largely due to circumstances beyond her control, including health issues and her husband's business failure.
Why the Applicant Prevailed
- The applicant demonstrated a good faith effort to resolve her delinquent debts.
- She and her husband have stable, well-paying jobs and can meet their financial obligations.
- The financial difficulties were largely due to circumstances beyond her control, including health issues and her husband's business failure.
Conditions Referenced
- FC DC 1raisedA History of Not Meeting Financial Obligations
- FC DC 3raisedInability or Unwillingness to Satisfy Debts
- FC MC 3appliedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's Control
- FC MC 4appliedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Indications That the Problem Is Being Resolved or Under Control
- FC MC 6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“The adjudicative process is an examination of a sufficient period of a person's life to make an affirmative determination that the person is eligible for a security clearance.”
Procedural Posture
- SOR issuedMay 25, 2006
- Answer filedJul 13, 2006Applicant responded to SOR and requested a hearing.
- Hearing heldOct 5, 2006Hearing conducted with both parties present.
- Decision dateNov 21, 2006
Cite For
- Mitigating Conditions Under Guideline F for Financial Considerations
- Good Faith Efforts to Resolve Delinquent Debts
- Impact of Personal Circumstances on Financial Responsibility