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Letter of Intent to Deny Security Clearance and Statement of Reasons
By Kenneth Long on July 22, 2011

army-fatigues-(1).jpgHave you received a Letter of Intent (LOI) to deny your security clearance? Do you know how you should respond to Statement of Reasons (SOR)? Understanding the process and the government's concerns about how you handle your financial affairs can help you make changes and prove that you have taken corrective action. That way, you do not threaten your current or future job opportunities which may require security clearance.

LOI/SOR Issued

If you have received a LOI that threatens to deny your security clearance, you should take it very seriously. If your MOS requires security clearance, then you could be demoted. Civilian contractors may be terminated. Service members who are unable to gain security clearance can be blocked from advancement. While a denial may be due to a number of factors, we are focusing only on financial causes.

The LOI likely includes an SOR. The SOR is issued from the Adjudicator at the Central Adjudication Facility (CAF). If the SOR is unclear, you have the right to request the investigative data so that you may better understand the exact items which are causing concern.

Respond to SOR

You absolutely should respond to the SOR to explain why there is no longer a cause for concern for each item listed. If you have since had a payment plan agreed to by a creditor, you should include a copy of that agreement for review by the Adjudicator. If you entered into a debt management program through a credit counseling agency, provide a copy of that agreement to show that you are faithfully completing a repayment program.

If you had little choice other than to file for bankruptcy, make sure that you include the facts of the case in your response and provide copies of the filing for review. A bankruptcy filing is a serious matter, but it does not automatically result in denial of security clearance. You should avoid debt settlement companies, though, since there will be no evidence that anything is being paid.

Adjudicator Reviews and Responds to SOR

The Adjudicator will be looking to see if your financial woes continue to threaten your reasonable ability to maintain the security required of your post. They do not require that your financial issues have been fully resolved. What they will require is that you have taken the necessary corrective action so that you are clearly on a path towards resolution. Any documentation that you can provide in addition to your response that proves that you are making real progress will help your cause.

If you need assistance with this process, you are encouraged to contact legal services through the JAG, a nonprofit credit counseling organization or Military One Source.

At the conclusion of this process, you will either be granted security clearance or you will receive a Letter of Denial (LOD) by the Adjudicator.
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