breakaway2000
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Currently being in default of any sizable debt (bankruptcy, short sale, foreclosure, credit card default, student loan default) is almost a guarantee that you won't be given an initial security clearance. It's not an all out denial, it's almost always pending further investigation, which like a tier 2 mmpi or medical, can significantly slow down your process. If you're smart it also gives you time to correct the situation, start the process of getting on solid financial footing, and be prepared when you meet with whoever is assigned to your case to show them what you have done recently and your plan moving forward.