August 8th, 2011
01:41 PM ET

Your take: Where do you stand on S&P downgrade?

[Updated at 1:41 p.m.] The inability of Congress and President Barack Obama to reach a deal to raise the debt ceiling sparked a firestorm of anger directed toward Washington. Readers said they were angry, disappointed and fed up. They had no problem about where to point the finger when it came to blame. Quite frankly there was downright outrage.

And now Standard & Poor's has downgraded the U.S. credit rating by one notch to AA+, removing it from the Triple A-club for the first time in history. Did S&P get it right? | A political miscalculation

As the market reacts to the downgrade status, wants to know how people feel about it. Grab a video camera and sound off on iReport here.

Some iReport contributors are already speaking out about the downgrade, whom it affects and how much the American public understands and cares about the issue.

Egberto Willies, a frequent iReport political commentator, says he believes that the S&P downgrade of the U.S. is “a fraud on the American middle class.”

“The reality is, Standard & Poor's and all these organizations are the same companies who rated credit default swaps that brought down the economy and forced us to get into further debt to bail out the financial sector,” he argues in his video. “They're the ones who allowed that to occur.”

Omekongo Dibinga says he thinks Americans simply don’t care what the country’s credit rating is.

“Most Americans are too busy worrying about their own credit to care about America's credit rating,” he says in his video.  “With our AAA rating, we've still had a Great Depression and a Great Recession. People have still lost their homes and thousands of jobs. Is this what our rating got us?”

Dibinga says the lowered rating may even serve as a needed wake-up call for politicians and corporations.

"Maybe this credit will be good for America," Dibinga said. "Maybe these corporate types at the top will start to think twice, but for the rest of us, we're going to wake up tomorrow and our life won't seem to have changed because of a downgrade.”

Melissa Fazli from Yorba Linda, California, sent a video reaction shortly after the S&P downgraded the U.S. credit rating. She says that everyone should pay as he goes: “No more debt.”

She says she also believes the downgrade is “a kick in the face” but hopes that people will vote for politicians who will “wake up” and “get their act together and work together.”

And those commenting on and haven't shied away from sharing their views either. Here's a sampling of what you had to say:

"S&P was absolutely right to downgrade the US government–the country is frighteningly deep in debt. For decades, the federal government has proved itself utterly incompetent in managing the taxpayers' money and this is the result. And if government can't manage our money responsibly, it's time to cut up the credit cards–we need a balanced-budget amendment." - CNN commenter HenryMiller

" The S&P is full of it. This is the same agency that assured investors and gave excellent ratings to toxic mortgage back derivatives. They are
responsible with the banks for the finical [sic] crisis and now they are playing more games and leading us into a double dip. Make no bones, they have their own agenda. I would not be surprised if they are short-selling and making out like bandits. These people are all crooks!!!" - CNN commenter Daniel Tal

"good for S& clowns in Washington want to act like fools? You get called on it!!!!!" - CNN commenter stooges999

"And they are "sticking by their decision"? Wonder if the S&P is also "sticking by their decision" on the sub-prime mortgages the touted as
AAA before the collapse in 2008???" - CNN commenter esmith3750

"Anyone who listens to S and P after the crimes they committed during the financial meltdown is an idiot" - CNN commenter Jon King

In response to that comment user Barfly52 wrote: "Looks like investors are listening. Market down 325 points in first 75 minutes."

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Filed under: Business • Economy • Finance
soundoff (1,062 Responses)
  1. SouthTexas

    I'm sick of ALL politicians and scared to death. I'm 55 years old and barely dodged the bullet in 2008....but my 401k is in a shambles and I'll probably never be able to retire. WE NEED TO VOTE THESE CLOWNS OUT OF OFFICE.

    August 8, 2011 at 5:24 pm | Report abuse |
    • herpderp13

      It only takes about $2500 to build a shanty in the hills of Georgia, buy a straight and true .30 – 06 and stock up on some ammunition. The rest you can provide yourself. Shoot animals for meat and grow your vegetables and fruit.

      August 8, 2011 at 5:35 pm | Report abuse |
  2. Sotzume

    The Republicans and their extreme right wing ideologues are deliberately pulling this country into a depression in order to have political power and guarantee that the President will not be re-elected. Its disgusting and they should all be thrown out on their butts NOW. These cynical spawn of Karl Rove and George W. Bush are going to devastate the people of the US for their monstrous social engineering beliefs. Believe me, the rich will still be rich and perhaps, richer, in the end. And those imbecilic Tea Party adherents are going along like lambs to the slaughter, because they hate blacks and gays and anyone not like them. Its like the film "Network" has come true. Monsters all of those Republican politicians and idiots who follow them slobbering on about gay marriage and white power.

    August 8, 2011 at 5:24 pm | Report abuse |
    • HOWARD

      Sotzume ... you poor blind fool. Like the other blindly devoted Obama cult members. No matter how much Obama obviously undermines America, and our economy, you idiots continue to defend him, allowing him to merely dig the hole deeper. It's time to admit that Obama is simply an inexperienced empty suit, with no accomplishments, except for his egotistical autobiographies, voting 'present' 129 times, during his undeserved 1 1/2 years in the senate, 20 years in Reverend Wright's anti-American, radical, racist church ... followed by squandering TRILLIONS, and spending more money in 2 1/2 years, than all the presidents that came before him COMBINED !!!

      August 8, 2011 at 5:38 pm | Report abuse |
    • Charlie

      If this is true, why didn't the Dems create a plan. The Repubs offered up two plans. All the Dems could say was NO! They really can't afford to cut spending because that's how they stay in power, paying off their special interests. The TWO MESSAGES from the S&P were (1) our politicians need to act like adults and compromise and (2) our country needs to change directions financially, we need to STOP INCREASING THE DEFICIT and START DECREASING THE DEFICIT.

      The Repubs and Dems are equally responsibible for (1), but the Dems own the Lion's share of (2). Again, they didn't even offer up a plan! No leadership at all is coming from the left on fiscal responsibility.

      August 8, 2011 at 5:47 pm | Report abuse |
  3. rjreuter

    well these are the same people who were calling all the bundled mortage triple too, can we really trust theS&P to rate anything are they redundant?

    August 8, 2011 at 5:24 pm | Report abuse |
  4. john

    Will Americans sit back, apathetic uninvolved lazy, as Rome burns?

    Or will they take clues from Europeans and riot?

    August 8, 2011 at 5:25 pm | Report abuse |
    • Nero

      I've got a stick and a bag of marshmallows. I'm ready for it.

      August 8, 2011 at 5:35 pm | Report abuse |
  5. someone

    Our country DESERVED the downgrade. You can't have 15 trillion dollars of unpaid debt and just expect it to vanish, or pay it off in the slowest possible amount of time and watch as its interest rate increases. This is entirely our governments fault and it is time for reform.

    August 8, 2011 at 5:25 pm | Report abuse |
  6. Brian

    We are becoming a Tea Party Nation. Time to apply for Canadian citizenship!

    August 8, 2011 at 5:26 pm | Report abuse |
    • Charlie

      By all means, please go. The Tea Party is the only group offering solutions. S&P even said that passing Cut, Cap, & Balance would have kept them from downgrading U.S. Debt. The left is only hear one of the two messages given. They are not hearing that our spending is unsustainable and that we need to come up with a plan to reduce it. All we did on 8/2 is kick the can down the road. Appoint a special committee to look into the problem. NO REAL CUTS IN SPENDING THOUGH...

      August 8, 2011 at 5:32 pm | Report abuse |
  7. gordon greenwood


    August 8, 2011 at 5:26 pm | Report abuse |
    • OhSay

      I think your capslock is stuck there. I know you're typing something but all I read is "I'M STUPID AS HELL AND HAVE TO SHOUT IT TO EVERYONE SO THAT THEY KNOW IT!!!!!" Have a fabulous day. m'kay?

      August 8, 2011 at 5:39 pm | Report abuse |
  8. CMD

    So does this mean the USA won't be accepted for a credit card?

    August 8, 2011 at 5:28 pm | Report abuse |
    • King7414

      Thats funny+

      August 8, 2011 at 5:36 pm | Report abuse |
  9. Marcus

    USA played with fire. Now is time to taste the consequences. And what we all are seeing is only the beginning.

    August 8, 2011 at 5:29 pm | Report abuse |
  10. phnxrth

    To me, most of what I've been seeing having to do with Washington D.C. recently has seemed symbolic. The S&P downgrade also seems to be. Members of government really seem to be enjoying this fight they're in. Do they even know any more what they're fighting for?

    I'm an eternal optimist at times like this. I believe at some point America will have a financial system as well as a government that make sense. This could be a step in the right direction.

    One more thought I have on this is Republicans are doing such a good job of making themselves look terrible right now Democrats would be hard pressed to do as badly. I'm not assuming they're not up to that challenge.

    August 8, 2011 at 5:29 pm | Report abuse |
    • Charlie

      The Democrats and the President in particular came out looking terrible. They never put forward a plan. They just kept saying NO to the Republican plans. The lack of compromise was found on both sides of the aisle, but the Republicans at least put out two workable solutions. In this game it was Repubs 2, Dems 0.

      August 8, 2011 at 5:37 pm | Report abuse |
  11. coy4one

    Solve this next election....Demand your candidate supports TERM LIMITS for Congressional members, and tell your candidate that if they sign any other pledge other than an oath of office, they will lose your support and they should be impeached!

    August 8, 2011 at 5:30 pm | Report abuse |
  12. Sick of this crap

    If the US government had a FICO score like the rest of us, it would be in the 600s. That is not to say that S&P downgrading the US isn't the fox minding the henhouse.

    August 8, 2011 at 5:32 pm | Report abuse |
  13. MaryM5

    These GOP/TPer folks can scream, its Obama fault, until they’re blue in the face but the entire world was watching The teaRepublican. So go ahead and try to spin it all you want. THE world knows you are POS liers.

    August 8, 2011 at 5:33 pm | Report abuse |
    • Charlie

      Are you the clever one.....

      August 8, 2011 at 5:50 pm | Report abuse |
  14. Voltairine

    Pineapples: 2.63 coconuts
    Chickens: 19.55 eggs
    Bringing down the machine: Priceless

    August 8, 2011 at 5:33 pm | Report abuse |
  15. Susan in Montana

    The time to point fingers and play the blame game is long past. It's pretty much a moot point of who got us here because it's so easy to spin a situation and point the finger at some other person, political party or organization. It's time for all of us to take financial responsibility (from the private citizen on up to our government). If you're in debt, get out of debt. If you're over spending, quit over spending. If your current financial plan/budget is working, then re-vamp it. But, don't get lost in bad mouthing, blaming, pointing fingers, etc. It's non-productive and shows a lack of maturity.

    August 8, 2011 at 5:34 pm | Report abuse |
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