I just found out last week that a joint credit account that I had with my ex-husband is delinquent over 2 years, bringing the total to almost $22,000.
Unfortunately, I looked in our divorce decree and it was not listed in the accounts that we had divided between us and that is my fault because I am the one who filed for divorce. We had a verbal agreement that he was to pay it off since we had openned the account for his offroad type hobbies.
But now I know he didn't. Honestly, I know it is affecting me in a BAD BAD BAD Way, but I feel that I shouldn't have to pay for it.
I don't even know how to start looking for him. I don't know if he's still in the Army or what? He's not even on myspace!
Other than knowing that I have to get in touch with him to work this out, I would like to know how this would affect my application for a security clearance.
I cannot imagine that I would be granted one when I'll be asked about it and my response would probably be, "I ain't payin for it"...when in reality, I really am, credit-wise. $22,000 is a lot of money on my single E-5 pay, especially when I have my own bills already.

Please advise.
Thank you.

With that amount of bad debt I can tell you with 99.9% certainty there is absolutely no way you will get a clearance.

I sure hope you're not currently in a classified rating as you can be forced out of your rate for the inability to obtain a clearance. My advice is to bite the bullet, contact the creditor and set up a payment plan. Or you can do nothing and potentially be discharged from the CG or forced to go a rate which doesn't require a clearance.

If you decide to accept the fact that you are going to pay for it, one way or another you need to start a payment plan. List that on your SF-86. Its important for you to list all things in your financial past. If you hide it and they find it you are screwed. If you start a payment plan and explain on the 86 what is going on it may increase your chances of getting your clearance.
Good luck

Thank you. I know that the only way its going to be taken care of is if I do it. At the end of the day, I did willingly put my name on the acct almost 5 years ago. But I just wish it wasn't so.

It is just bothering me so because I was informed I needed to start putting together my SF-86 because DHS mandates that all employees have and maintain a security clearance.

I've always paid my bills on time and have not since the divorce 3 yrs ago openned a new credit acct of any sort. I had my car, my 3 cards, etc. I didn't know SK's needed clearances either, but oh well. The Command said jump, so I best go "how high" on this one. My SKC told me to get my credit report and list the items on it on the SF-86 to make sure it would be almost exactly the same as what SECCEN would be looking at.

Lo and behold. I had a pitiful credit score because of a 2 year old, now $22,000 debt that I did not know existed.

Of course, I am embarrased to tell my Chain of Command so fredsplace was where I was getting my feet wet at. But I've got a whole weekend to come up with a plan before Monday comes around. And no, I didn't intend to omit this from the SF-86. It's just embarrasing. I just hope I don't get discharged. That would be terrible.

Thank you for your time!

quote:

Originally posted by LoveTheSea:
It is just bothering me so because I was informed I needed to start putting together my SF-86 because DHS mandates that all employees have and maintain a security clearance.

I didn't know SK's needed clearances either, but oh well.

When did this come out? Everyone in the CG has to obtain and maintain security clearance eligibility? Anyone have a reference?

I'm not in the coast guard (thinking about it, but still attending SDSU) but I have a girlfriend who works on the chase here is san diego and we were just over at my apartment digging up names and addresses of old friends to list down as her references. She said that she has to get her whole paperwork (? not sure what word to use) for a background check submitted soon for the same reason because she had received an email to do it from her boss.
(I think thats what she said). That form is LONG!, but (I was asking a lot of questions) Koko was telling me that she was told everyone in the CG has to have it now, thats why she was doing it all of a sudden.

There is a couple of things you can do. Just because you owe 22,000 dollars does not mean you will not be able to get a clearence. My suggestion would be to talk to coast guard legal, because I believe a bill that was not put on your divorce papers. You can get your divorce papers amended. If he is in the Army, either coast guard legal or some one in your chain of command. Should be able to give you advice about talking to Army personal to get in contact with your ex as long as he is still on active duty. If he isn't, you should go on one of those people locater sites pay 60 dollars for the advance search, and use your ex husbands social #. I've used it once, and it was acurate. Gave me an adress, and phone number. Including neighbors phone number.

quote:

Just because you owe 22,000 dollars does not mean you will not be able to get a clearence.

I've seen NUMEROUS people with less that $3000 in bad debt receive intent to deny security clearance notices. Typically the only resolution SECCEN would accept was complete payment of the bad debt.

Please don't be concerned about speaking with your command or CSO about this. These type of things happen more than you may think. There are numerous options available to you, all you have to do is let someone know that you need the help.

If you want to discuss some of your options in a non-public forum shoot me an email in the global, my first and last name is available by clicking on my screen name.

Have you thought of asking your Chief? How about your Command Chief???? Start there and work your way up if needed. If you want to keep it confidential, call EAP at 1 800 222 0364 or www.foh4you.com . They will get you the help you need. It's alot better than someone attending SDSU who is thinking about joining.

You should be able to get a clearance as long as you disclose the situation on your SF 86. It's the non disclosure that messes people up but I've process the security clearances here and we have worked with people in worse situations than you and they get clearances with conditions granted. You will have to prove that you are trying to eliminate or pay off the debt though.
As for the new Coast Guard requirement it was in an ALCOAST 511/06 that came out last OCT.

ALCOAST 511/06
COMDTNOTE 5500
SUBJ: SITREP ONE - HOMELAND SECURITY PRESIDENTIAL DIRECTIVE 12
IMPLEMENTATION IMPACT ON COMMON ACCESS CARD (CAC) ISSUANCE
A. HOMELAND SECURITY PRESIDENTIAL DIRECTIVE 12 (HSPD-12) - "POLICY
FOR A COMMON IDENTIFICATION STANDARD FOR FEDERAL EMPLOYEES AND
CONTRACTORS"
B. OMB LETTER DTD 5AUG05 "IMPLEMENTATION OF HSPD-12"
C. 171100Z JAN 06 JOINT TASK FORCE - GLOBAL NETWORK OPERATIONS CTO
06-02, "TASKS FOR PHASE 1 OF THE ACCELERATED PUBLIC KEY
INFRASTRUCTURE (PKI) IMPLEMENTATION" (NOTAL)
1. REFERENCE A REQUIRES FEDERAL AGENCIES TO ISSUE "PERSONNEL
IDENTITY VERIFICATION (PIV)" CARDS TO CIVILIAN AND MILITARY
PERSONNEL AND CONTRACTORS WHO REQUIRE ROUTINE ACCESS TO FEDERALLY
CONTROLLED FACILITIES AND/OR FEDERALLY CONTROLLED INFORMATION
SYSTEMS.
2. DUE TO GENEVA CONVENTION REQUIREMENTS AND LONG-STANDING
AGREEMENTS WITH THE DEPARTMENT OF DEFENSE (DOD), THE COAST GUARD
WILL USE THE COMMON ACCESS CARD (CAC) AS OUR HSPD-12 COMPLIANT PIV
CARD.
3. ISSUANCE AND VETTING REQUIREMENTS FOR THE CAC WILL CHANGE AS THE
COAST GUARD IMPLEMENTS CHANGES TO ENHANCE SECURITY AND IDENTITY
MANAGEMENT.
4. REFERENCE B MANDATES THE INITIATION OF THE NATIONAL AGENCY CHECK
WITH INQUIRIES (NACI) OR OTHER SUITABILITY OR NATIONAL SECURITY
INVESTIGATION PRIOR TO ISSUANCE FOR ALL NEW EMPLOYEES HIRED AFTER
27OCT05.
5. OMB IMPLEMENTATION GUIDELINES ALSO REQUIRE THE COAST GUARD TO
VERIFY AND/OR COMPLETE INVESTIGATIONS FOR ALL CURRENT EMPLOYEES IN
A PHASED EFFORT. INDIVIDUALS EMPLOYED FOR 15 YEARS OR LESS MUST BE
COMPLETED BY 27OCT07 AND INDIVIDUALS EMPLOYED MORE THAN 15 YEARS
MUST BE COMPLETED BY 27OCT08. THIS MANDATE HAS SIGNIFICANT
RESOURCE IMPLICATIONS FOR THE COAST GUARD (ROUGHLY 1/3 OF CIVILIAN
EMPLOYEES AND 1/4 OF MILITARY MEMBERS DO NOT HAVE A RECORD OF
INVESTIGATION IN THEIR OFFICIAL PERSONNEL FOLDER (OPF) OR PERSONNEL
DATA RECORD (PDR). CG-1 AND CG-86 ARE COORDINATING EFFORTS TO
VERIFY EMPLOYEE INVESTIGATION RECORDS.
6. REFERENCE C MANDATES THE ACCELERATED IMPLEMENTATION OF PKI
DIGITAL CERTIFICATES FOR ACCESS TO DOD NETWORKS (INCLUDING THE
COAST GUARD DATA NETWORK) AND AUTHENTICATION TO SECURE WEBSITES.
THE COAST GUARD WILL MOVE TOWARDS CAC ENABLED LOGON FOR THE
STANDARD WORKSTATION. CG-6 IS THE POC FOR THIS MANDATE AND IS
COORDINATING IMPLEMENTATION WITH TISCOM, THE MLCS, AND THE ESUS.
7. THE TIMELINES SET FORTH IN THESE MANDATES ARE AGGRESSIVE AND A
HEADQUARTERS IMPLEMENTATION TEAM HAS BEEN CHARTERED TO MANAGE THE
EFFORT. TEAM MEMBERS ARE DESCRIBED ON THE IMPLEMENTATION WEBSITE
HTTP://WWW.USCG.MIL/HSPD12 AND SPECIFIC CONTACTS ARE LISTED AT THE
END OF THIS MESSAGE. A SERIES OF ALCOASTS SUPPLEMENTED BY THE
WEBSITE WILL COMMUNICATE REQUIRED ACTIONS AND PROGRESS.
8. ASIDE FROM ROUTINE CARD ISSUANCE, THERE IS NO NEED TO RUSH TO
THE LOCAL CARD ISSUANCE SITE TO BE ISSUED A CAC. FUTURE
COMMUNICATIONS WILL OUTLINE A PHASED APPROACH FOR THOSE INDIVIDUALS
THAT DO NOT POSSESS A CAC AS WELL AS OUR SHIPMATES IN THE
AUXILIARY.
9. THE NEXT HSPD-12 ALCOAST WILL PROVIDE DETAILS REGARDING: 1) CAC
ISSUANCE TO CONTRACTORS, 2) CAC CERTIFICATE VALIDITY, 3) POSITION
BASED SECURITY CLEARANCE MANAGEMENT, 4) POSITION SENSITIVITY
MANAGEMENT, AND 5) INVESTIGATION MANAGEMENT AND PRIORITIZATION.
10. POINTS OF CONTACT FOR SPECIFIC SUBJECT MATTER ARE: HSPD-12
PROJECT PLAN AND GENERAL INFORMATION, JASON ARNOLD (CG-1B2) AT
JASON.D.ARNOLD(AT)USCG.MIL, STANDARD WORKSTATION AND PKI ISSUES,
CDR JOE SARGENT (CG-621) AT JOSEPH.P.SARGENT(AT)USCG.MIL,
SECURITY/INVESTIGATION MANAGEMENT, TIM DAY (CG-86) TIMOTHY.R.DAY
(AT)USCG.MIL, CAC ISSUANCE AND RAPIDS, CWO TINA TENNYSON (CG-122)
AT SHIRLEY.C.TENNYSON(AT).USCG.MIL.
11. THIS IS A COORDINATED CG-1, CG-6, and CG-8 MESSAGE.
12. INTERNET RELEASE AUTHORIZED.
13. RADM CLIFFORD I. PEARSON, ASSISTANT COMMANDANT FOR HUMAN
RESOURCES, SENDS.
BT

quote:

They will get you the help you need. It's alot better than someone attending SDSU who is thinking about joining.

Please understand I was not trying to pass off any advice to my friends in regards to their background documents. I think I can see important it is to pretend I know anything about it.

All I did was, since I am and have been friends with a current coast guard member for a number of years, was open my personal address book and help her find current addresses of references that she said she needed.

Lovethesea,

As a previos ACSO I would recomend the following. Talk with your Command Security Officer and let them know what is going on. Secondly be 100% upfront on your SF-86 and put everything on there you are telling us. Last but not least call the company and start making some sort of payment on this. Even if it is 20 dollars a month until you get all this figured out. With out some sort of payment history there is no way you will obtain a clearance. In SECCEN's eyes right now it is He say She say since they dont have the other side of the story and there is nothing in writing. Make sure you are totally honest cause they will probably ask for recipts of purchases that are on that card. Start making minumum payments now.

I hope this helps please let me know if you need anything. I will help out as much as i can.

A couple of things that back up what others have said - some that contradicts:

1. Bad debt is not an issue as much as undisclosed, unexplained bad debt. As others have said, disclose it on the SF-86 and explain it. Make sure you are formally disputing it.

2. Folks are confusing "clearance eligibility" and "intiating NACI" They are two different things. Not every Coastie will need access or eligibility. They will just need the investigation. Just because the adjudicator determines you are unsuitable for a clearance, will not mean you are unsuitable for employment. Great case in point - resident aliens! I seriously doubt any service will ever stop taking resident aliens. Most folks who have ever served with resident aliens will tell you they are some of the best sailors, soldiers, marines, airmen and coasties out there.

I would have to agree with MC on that one. I sailed with a few "resident aliens" before and I would be happy to serve with them again. It's great to serve with people who are proud to be in the Coast Guard!!

Thank you for all the information! That's one feeling I'm never going to ever want to feel again.

The ex was found, but wasn't too happy about the circumstances...go figure. He wasn't too helpful, but I want to thank all of you for your suggestions.

I took ownership of the debt and it is now half of the 22K (thank goodness for savings account direct deposits and *bah*) and I am now on an aggressive payment plan. ---RAMEN NOODLES for a few months! =)

I hope this will help my chances once the investigation starts. It is the only bad mark on my credit and I have all the fun documents backing up my payment plan and what I've paid off of it.

Thank you again for everything! I really appreciate it!

This message has been edited. Last edited by: LoveTheSea,

Just another side not to help you with your debt. If you ended up getting a bonus or run into a nice chunk of change, if you call the bank, you can offer them a settlement and they might take it. At one point I a nice sum of money to a certian bank/credit card, I offered them less than half of what I owed to settle the debt and they took it. Saved me a few thousand dollars.

A side note to that side note:
There is a chance for that debt relief to be treated as earned income and/or reported as a 'charge-off' by the credit company. A Charge-off is very harmful to future credit ratings and the earned income could actually have tax related concequences.

Wow, that is good advice. I guess I was lucky cuase the charge off didn't apply to earned income. As for hurting my credit, lets just say there wasn't much more damage that a charge off could have done to my credit at that point... But the stress relief from having paid off the debt and being debt free changed my life. After that my credit rating since then has soared.. Another side note, once you have decided to repair your damaged credit report becuase you have finally realized how important it is... Leased credit does the trick, and does it quickly. I leased a car and with in 6 months, I started getting all those darn credit card offers in the mail again. After owing them money for years and completing a settlement that included a charge off, all of the sudden they wanted to give me credit limits that I thought were rediculous. Learned my lesson tho, they get shredded daily!!

quote:

Originally posted by Mightyz90_93:
A side note to that side note:
There is a chance for that debt relief to be treated as earned income and/or reported as a 'charge-off' by the credit company. A Charge-off is very harmful to future credit ratings and the earned income could actually have tax related concequences.

I'll back the MC 100% on his advice! Several years ago I was in a similar situation, ex-fiance stiffed me with a BUNCH of debt. Yada,yada,yada went into default etc. When it finnaly came time for assume ownership of the debt(because it was in my name) I was ALL over the "settlement deal" I thought SWEET I can pay off 25K for 14K, where do I mail the check? What no one mentioned was exactly what the MC posted above. The 11K difference between what I owed and what I paid was considered "earned income" which ultimatley pushed me into a higher tax bracket and then the fun really started! In addition, the 11K difference was charged off as bad debt and appears to this day on my credit report. Listed as: Charge-off,settled. BELIEVE ME those words charge off stand out a LOT more than the words settled to anyone considering offering you a mortgage, car loan, vino of the month club membership etc. BEWARE OF THE SETTLEMENT OFFER!!!! Good luck! -Jeff

quote:

I guess I was lucky cuase the charge off didn't apply to earned income.

Zachery, I'm no tax lawyer but my understanding is that the credit card company or whomever extends the credit is required to report the settlement to the IRS and should have issued you a (I think it's 1099) whatever the tax form where misc. income is reported to the IRS. I did a LOT of research on this when I went thru it and that was my understanding. -Jeff