Posted on Jul 8, 2018
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Pretty much after my court date with trustee am I able to start the process during a chapter 7 bankruptcy, it is the only court date I'm required to attend?
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SGM Erik Marquez
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Edited 6 y ago
Bankruptcy is not an automatic disqualify for a secret clearance. But if the debt occurred because of inappropriate spending, gambling, drug or alcohol addiction, it might be an issue.
Its the thing that shows your untrustworthy, or secretes that cause the denial.
Financial mistakes in your youth, identified, corrected and dealt with openly will be cause for close scrutiny for sure...but not a automatic disqualify.
That said, it may be something recruiters are required to consider ..as they don't want to contract you for a job you will never be able to get into after basic....
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SGM Erik Marquez
SGM Erik Marquez
6 y
Not my words..
But relevant anyway
"Guideline F: Financial Considerations
The Concern:
An individual who is financially overextended is at risk of having to engage in illegal acts to generate funds.
Conditions that could raise a security concern and may be disqualifying include:
A history of not meeting financial obligations;
Deceptive or illegal financial practices such as embezzlement, employee theft, check fraud, income tax evasion, expense account fraud, filing deceptive loan statements, and other intentional financial breaches of trust;
Inability or unwillingness to satisfy debts;
Unexplained affluence;
Financial problems that are linked to gambling, drug abuse, alcoholism, or other issues of security concern.
Conditions that could mitigate security concerns include:
The behavior was not recent;
It was an isolated incident;
The conditions that resulted in the behavior were largely beyond the person's control (e.g., loss of employment, a business downturn, unexpected medical emergency, or a death, divorce or separation);
The 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;
The affluence resulted from a legal source; and
The individual initiated a good-faith effort to repay overdue creditors or otherwise resolve debts.
"
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Potential Recruit
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6 y
Thank you sir, definitely put my research in on those matter. I just want to get the process started and was wondering if I could start after my court date. I did thinking about waiting unitl it was all actually discharged and go for 25N but that'd be around December going into 2019. At this point don't really care about the clearance anymore just if I could join after my court date.
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TSgt Terry Hudson
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I don’t see why not, but what may come into question is a security clearance. You might want to do some research on the requirements for at least a Secret security clearance. Financial standing can and will play a part of clearance approval.
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Potential Recruit
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6 y
Thank you sir I appreciate it, base off what my recruiter was saying I'd be ineligible for any clearance. I was going to go 25n, but at this point I'm life I'm just ready to go, even if I have to go needs of the army.
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TSgt Terry Hudson
TSgt Terry Hudson
6 y
He would have more valid data on clearances since he’s a recruiter. There may be jobs out there that don’t require a clearance. 25N is definitely not one of them. Not do discourage you though. I think you should figure out how to get it cleared from you record then look into joining. How old are you?
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6 y
TSgt Terry Hudson
23, looking to enlist at E3 with my college credits. I've given up the thought to getting a clearance, just want to get in and maybe if the cards in my favor reclass when the time comes.
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TSgt Terry Hudson
TSgt Terry Hudson
6 y
Ok, you got time! But that’s definitely something you could do as well! Take a job that requires no clearance and then reclass later. Hope everything works out and good luck man!
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LTJG Richard Bruce
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How old are you and why a Chap 7? The services do not want to recruit someone who has financial obligations that are beyond ones ability to pay on E-1 thru E-3 pay. You need to be 100% committed to the military, not your personal baggage.
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CPT Lawrence Cable
CPT Lawrence Cable
>1 y
The Army isn't the Coast Guard, different rules. However, Bankruptcy is means tested, so the Court determines whether you get Chapter 7 (essentially debt forgiveness) or Chapter 13 (debt reorganizations). If he is beyond the 341 creditor meeting, then he is most likely going to have all dischargeable debts forgiven. If he has student loans, he will still have to pay them and any lien based credit will have to either be reaffirmed or the property that the lien was based recovered by the lender. To answer his question, if he has attended the 341 meeting, the only thing that should require his attention is the completion of the require Financial Education from an approved source and filing that certificate before the scheduled date of discharge.
Not a lawyer, but I did stay at a Holiday Inn Express.
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