Racking Up Debt Could Mean Loss of Security Clearance

 

Accruing a lot of debt can cause a variety of problems including a poor credit rating and a home foreclosure.

However, the bad news does not stop there for individuals who have held defense jobs or intelligence jobs. The Orlando Sentinel reports that a house foreclosure can result in the loss of one's security clearance.

According to the news provider, bank takeovers are not taken lightly by employers such as NASA, Lockheed Martin Corporation and other federal contractors. Depending on how the foreclosure is handled, debt-ridden employees may lose their security clearance and potentially their jobs.

"Losing your security clearance is like losing your most marketable aspect for employment," real-estate broker Travis John, a distressed-property specialist, told the media outlet.

Virginia-based lawyer David Price, who specializes in security clearance cases, told the news source that he has seen financially-related security clearance problems double in recent years.

Military personnel who have their security clearance denied due to excessive debt may be transferred to another career field or kicked out of the military altogether, according TheMilitaryWallet.com.