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e-QIP FAQ

Question
During the last 4 years, the economy has taken big down turns. Many individuals are underwater with houses that have depreciated up to 50% or more in value. Do short sales (in lieu of foreclosure) affect security clearance adjudications? Is on going litigation with the banks considered under the investigations? Thank you.
Answer

Each agency to which a person applies is responsible for making the appropriate access, fitness, suitability, and/or clearance determination.  Therefore, it will be up to the hiring agency to evaluate financial considerations when making an adjudicative determination.

When evaluating financial issues, consideration is likely to be given to whether the circumstances surrounding the matter raise a question about an individual’s reliability or integrity.  For example, conditions that suggest an individual is not willing to pay just debts or is living beyond his or her means would be of concern.  During the adjudication process, generally, an evaluation is made on a number of variables about the person’s life over a sufficient period of time, and an examination of information, both favorable and unfavorable, occurs to reach a determination.  

If asked on any Federal application or background investigation documents, financial- and court-related matters are required to be reported.  



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