Payday Loans Put Cash-Strapped Sailors' Clearances at Risk

June 2006: Sea Power magazine reports
that enlisted personnel have risked, and in some cases lost, their security clearance after taking high-interest payday loans that ultimately impair their finances and make them appear a security threat.

US Senator Jim Talent, citing security clearance concerns, is taking action to limit debt burdens associated with payday loans. Read about it here. An amendment he fashioned to limit interest charged military personnel reportedly was included in the 2007 defense appropriations bill.

Have military clearance adjudicators stepped too far here, or do they have a legitimate concern that cash-strapped cleared personnel might compromise classified information to improve their finances? Share your thoughts below.

Filed Under: Adjudication, Commercial Services, Adverse Actions