SC Clearance with Loans

diluxb

I'm looking for an advice here regarding my below SC clearance query.

I got a contract job offer from "work and pension" department and it requires SC clearance.
I left my job couple of months ago with voluntary redundancy package. Six months ago I got 2 personal loans totalling £32,000 from two lenders for home improvements. But I didn't used it yet and still have it in my account. I'm planning to use it after securing a job. On top of that I have my mortgage. With voluntary redundancy package + loans + my savings, I can survive for 2 years without a job (by paying loans, mortgage and other expenses). I have a good credit history. No defaults, ccjs, bankrupts and never missed a payment.
My worry is will my personal loans (£32000), negatively affect the SC clearance decision ?
Will clearing off loans before applying SC help ?

* Another thing is I have given one of my rarely used bank current account to one of my friend to use. He used it to get his salary paid. He used it only for last 6 months and I took it back. Due to some complications he couldn't open up a bank account hence I gave one of my current account. I'm wondering whether I have to declare this on the form too. Or will this impact any other way ? I haven't filled the form yet so no idea what it contains.

Any advice will be appreciated.

unforeseen

ISTR SC clearance paperwork doesn't delve into money in any depth and you will be OK on both points. They are only interested in bankruptcy, DROs etc of you and your partner. I. E. situations that could open you up to blackmail, give a reason for theft/fraud etc.

DV clearance? Now that is a whole different ball game

diluxb

unforeseen wrote: »

ISTR SC clearance paperwork doesn't delve into money in any depth and you will be OK on both points. They are only interested in bankruptcy, DROs etc of you and your partner. I. E. situations that could open you up to blackmail, give a reason for theft/fraud etc.

DV clearance? Now that is a whole different ball game

Thank you for the response. For me what is required is "Security Check (SC)" clearance. Not DV vetting.

dionysia

SC does ask about finances (I don't think CTC goes into them) including debts. I think your best bet would be to make clear that you are very able to service the loans - as the above commenter has said, they are looking for possible vulnerabilities and £32,000 isn't a small amount of money to owe if something in your life changed and you couldn't pay it back.

The bank account you've allowed your friend to use is a bit trickier. Whatever private arrangement you had with him, on paper it presumably just looks like you were getting paid money that had nothing to do with you? The main thing is that you mustn't lie about anything: my understanding is they will let some quite odd situations through if they're content it doesn't make you a risk but being caught in a lie is an immediate no.