I got sworn in about 2 weeks ago, for 25h. I have about 16,000 in collections I've been considering filing for chapter 7 bankruptcy. I genuinely don't think I will be able to pay it back nor should I have to. The reason for my debt bought an Audi a4 and within 5 to 6 months the timing chain snapped and bent my valves. I had insurance on it but I didn't know of gap back then. Anyways would chapter 7 affect my security clearance?
Posted by Isiahsmith1001
4 Comments
I would like much feedback as I only have 4 months to decide on what to do and I haven’t been able to track what debt collectors I have to pay. I’ve been looking and can’t find who it’s owed to.
Probably.
From Army experience, your S2 or equivalent will find out about your debt sooner or later and will require you to present and document what you are doing to fix it. Not working to address your debt or ignoring it could put your clearance in jeopardy. The Army, not sure of other branches, requires you to maintain at minimum a Secret clearance or face administrative separation.
Anything debt related is a big red flag for clearances, it’s absolutely going to hurt your chances only advice I can give is be honest with your investigator and have a plan on clearing your debt tbh j don’t think claiming bankruptcy is going to be a good look but only the investigators know