How will filing for bankruptcy affect me as a US Navy Master at Arms?
I have three real estate properties that were recently forcelosed on, and I only have a few thousand dollars of credit card debt. I want to file bankruptcy but do not know how it will affect my security clearance in the Navy. What are some of my options?
Posted July 13th, 2010 in Bankruptcy Q and A. Tagged: bankruptcy, credit card debt, navy, real estate properties, security clearance, thousand dollars.
The status of your security clearance can be affected, but it is not automatic. The outcome depends on the circumstances that led up to the bankruptcy and a number of other factors, such as your job performance and relationship with your chain of command. The security section will weigh whether the bankruptcy was caused primarily by an unexpected event, such as medical bills following a serious accident, or by financial irresponsibility. The security section may also consider the recommendations and comments of your chain of command and co-workers. This is an issue that can be argued both ways, so as a practical matter your security clearance probably should not be a significant factor in making your decision about whether to file bankruptcy. The amount of your unpaid debts, by itself, may jeopardize your clearance, even if you don’t file bankruptcy. In that sense, not filing for bankruptcy may make you more of a security risk due to the size of your outstanding debts. By the same token, using a government-approved means of dealing with your debts may actually be viewed as an indication of financial responsibility. Eliminating your debts through bankruptcy may make you less of a security risk. There is no hard and fast answer here, with one exception: it never hurts to have a good reputation with your co-workers and your chain of command.
MSgt, USAF (Retired)
July 13th, 2010 at 10:43 amYou should ask your CO or JAG. You will not get an accurate answer on here.
July 13th, 2010 at 10:43 amProbably adversely because it could be an ethics issue. Get definitive answers from your superiors in the Navy.
July 13th, 2010 at 10:43 amYou will most likely have your clearance reviewed and possibly down graded. I don’t think this the the appropate place to be asking these sorts of questions. Try Navy Legal
July 13th, 2010 at 10:43 amljuswana,
July 13th, 2010 at 10:43 amsuggest u don’t file until u get real answers.
bankruptcy Will affect or eliminate Ur security clearances, reduce ur chances of advancement. bankruptcy for foreclosure and credit slavery cards is Nuking a gnat.
visit daveramsey.com to get serious help and learn ur hard lessons from others mistakes. Do not ask Bankruptcy lawyer for info – that like asking a ‘guard dog’ if it likes to bite.
2nd p/t job can clean up slave cards in a yr.
I think you should speak to your local JAG officer. Are you going to owe deficiencies on the three properties? If not, you should see about doing deeds in lieu of foreclosure if the sales didn’t happen yet. If the sales did happen and there are deficiencies, then yeah you might want to file, but a JAG should know how it will impact your security clearance.
July 13th, 2010 at 10:43 am