Association of Military Banks of America

Pillars of Personal Financial Success – Security Clearance and Financial Concerns

part 8 of an 8 part series

A security clearance is not only important, but usually essential, when you are serving in the military.  There are specific guidelines for acquiring and maintaining a security clearance.  Personal financial troubles can be a factor in obtaining and preserving a security clearance.  In fact, according to Military.com in their guideline on financial considerations, a financial concern is stated as “an individual who is financially overextended is at risk of having to engage in illegal acts to generate funds” and other conditions that could raise a security concern such as “a history of not meeting financial obligations” and an “inability or unwillingness to satisfy debts” among the others.

Facing financial troubles can be difficult alone, but knowing that it can also be a factor in your career stability and progression, those financial troubles could become crippling.  Many people have faced financial challenges at some point in their life and career in the military.  Overcoming the challenges, learning from them, and managing your finances effectively is very important.  A military member can have their security clearance reviewed in light of financial mismanagement.  Preventing financial challenges from becoming major financial issues – those serious enough to question your clearance – is vitally important.

In the blog, Tips to Achieve Financial Stability, three main areas for attaining and maintaining financial stability were identified: saving, credit/debt management, and consumer protection.  Following the information and tips using the information provided may lend help to achieving financial stability and assist in keeping that important security clearance safe.

If you find that your financial situation is beyond the point that simple tips and information can help, please seek out financial educators and counselors located in the family readiness centers at your installation.  Financial counselors are well-trained in helping servicemembers who find themselves facing financial challenges.  In addition, your military bank on your installation may also have options to help you through a tough time, you can seek out information and counseling from your military bank as well.

For more on financial readiness please read the other parts in this series.

Part 1:  Tips for Everyone to Maintain or Build Good Credit

Part 2: Tips to Achieve Financial Stability

Part 3:  3 Tips to Help you Commit to Routine Savings 

Part 4: Save Using the Thrift Savings Plan (TSP) and the Savings Deposit Program (SDP)

Part 5: Enrolling in the Servicemembers Group Life Insurance (SGLI)

Part 6: Why You Should Know More about Low Interest Loans and How They Can Save You Money 

Part 7: Using Morale, Welfare and Recreation (MWR) to Save Money