Clearance Denied Due to Overdue Student Loans

Originally published at: Clearance Denied Due to Overdue Student Loans | ClearanceJobs Blog

Based on historical Defense Office of Hearing and Appeals (DOHA) cases, it would be a good bet that one of the first cases for this year involved financial issues. The DoD Central Adjudication Facility (CAF) issued this applicant a Statement of Reasons (SOR) regarding her $212,000 in delinquent student loans that were placed in collections.…

For fiscal accountability and responsibility to be maintained, intrinsic transparency is certainly necessary. There is, however, a dire need for reform of educational loans. The current system makes it too easy for both the unaware and those who are knowledgeable enough to manipulate it. There needs to be more checks and balances in place to encourage the unaware to make more informed credit worthy decisions, as well as to deter would-be manipulators of the system. To protect future ‘security clearance entanglements,’ a credit-based pre-test application for a loan may be one possible solution. Musings