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.

CNNMoney.com: Did S&P get it right? | Time.com: A political miscalculation

As the market reacts to the downgrade status, CNN.com 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 CNN.com and CNNMoney.com 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&P....you 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."

Post by:
Filed under: Business • Economy • Finance
soundoff (1,062 Responses)
  1. Bayousara

    I really don't care. Who gives some organization like S & P that much power concerning our country's finances? Earlier this year I checked out my three "free" credit ratings and all three showed I owed Charter Communications over $350 for services and equipment at an address and the date was in October 2008. I had moved out of that address July 1, 2008 and never had Charter services. It took weeks to get that mess cleared up.

    August 8, 2011 at 8:40 pm | Report abuse |
  2. Karen

    Boy, CNN has become just another Republican/Tea Party station. What a disgrace! Of course the American People are smarter than you and the repubs/tea partiers think we are! Just another organization being paid by the rich in this country...whoever they are....both CNN and S & P....anything to try and DESTROY OUR GREAT PRESIDENT OF THE UNITED STATES OF AMERICA....hang in there President Obama....looks like it will be a bumpy ride ahead. What a disgrace and an unfortunate assumption of the American People.

    August 8, 2011 at 8:41 pm | Report abuse |
    • taxed

      That's right Karen. You know it all and the majority of us don't know anything.

      August 8, 2011 at 8:46 pm | Report abuse |
    • RandyM

      Are you just upset or do you have a solid reason to say what you said? Believe the facts, don't believe the conspiracy theories. Obama has spent too much money. Our current spending levels are financed at 60% taxes and 40% tbills. We have to pay j$25 billion per month in interest and the current debt is basically 15 trillion. Amost 1/3 of the total debt incurred since the USA began has come in the last 2.5 years. Before Obama a trillion $ debt ceiling raise would last an entire presidential term and now it will not even last one year. There is a problem and it is simply too much debt.

      August 8, 2011 at 8:52 pm | Report abuse |
    • Mark

      He really, really, isnt so great. He is like the rebound woman you just broke up with. Once you get over the lingering issues you had with your ex, you come to your senses and get a good woman.

      August 8, 2011 at 8:52 pm | Report abuse |
    • JackT

      Question:
      WHAT COLOR IS THE SKY IN YOUR WORLD??????

      August 8, 2011 at 8:52 pm | Report abuse |
    • AnotherFailureForDemocrats

      I can't waite to vote the democrats out! What a disaster they have been!!

      August 8, 2011 at 8:52 pm | Report abuse |
    • kevin

      Are you kidding me? The Tea Party is to blame? I am not a Tea Party member but the blame is not theirs. The people that elected them asked them to fight spending and taxes and that is what they did. Are you just one of the lemmings who vote Democrat because they believe the government should provide for everyone? This is a 2 party problem and its time they got their act together and do what is right for the mahjority of the american people.

      August 8, 2011 at 8:57 pm | Report abuse |
    • Lindsey

      Karen: It is a shame that you have bought into Obama's class warfare routine. It will be a shame when millions lose their government checks won't it? What a shame that we have to become a nation of people responsible for ourselves again!

      August 8, 2011 at 9:01 pm | Report abuse |
  3. PhilG.

    I've seen enough to know that what I have to do is get up tomorrow and go to work and come home like I always have and pay my bills.

    My bills won't stop and I already know I will work until the day I die.

    Eventually the Republicans will give the last dollar left in the Social Security System to private banks and FDR's grand hope will die.

    I'll still be working somewhere making just enough to get to next week.

    The politicians and American CEO's exported our prosperity to other countries decades ago.

    What S&P says means nothing to the people that send me my bills.

    They don't need S&P to increase my bills on a whim-they own all the politicians in D.C. for that.

    August 8, 2011 at 8:41 pm | Report abuse |
    • Hawkeye1010

      Amen, brother.

      August 8, 2011 at 8:47 pm | Report abuse |
    • Mark

      Um, Democrats are responsible for higher taxes.. Vote better next time.

      August 8, 2011 at 8:49 pm | Report abuse |
    • Huh?

      ummm, mark, he didn't say anything about taxes

      August 8, 2011 at 8:58 pm | Report abuse |
    • Thinker

      obama lowered taes. Get your facts straight.

      August 8, 2011 at 9:00 pm | Report abuse |
    • RandyM

      Saying Obama lowered taxes and thus giving a blank check to all Democrats is typical of those who really don't want to know they just want to complain. If you are a Democrat then you complain about the R. If you are a R then you complain bout the D.

      Please learn something, investigate, listen without your ideologue filters on. Learn why you agree with your party and why you disagree with others and you may even change your mind. Don't drink the kool-aid. Don't make your voting decisions based on your past political stance or your families political party. Be bold, courageous, intelligent, well read of both sides of the argument so you know where you stand and not where someone told you to be. Be an individual make your own decisions and accept nothing wthl out due process of thought. You are educated people turn off Seinfield reruns and learn about the issues in detail. Don't take someone else s word without critical thinking. Don's assume you are right or wrong. Listen to the other side in a peaceful way. Always use new information and don't be afraid to be wrong or to admit you were wrong. You can be wrong as long as you learn from it.

      August 8, 2011 at 9:16 pm | Report abuse |
  4. VetOne

    It's like getting a lower credit score for almost being late with a payment...

    August 8, 2011 at 8:43 pm | Report abuse |
  5. The Realist

    Bottom line......ALL POLITICIANS ARE CORRUPT AND ONLY CARE ABOUT THEMSELVES!!!!! CONGRESS MEMBERS TAKING AN AUGUST VACATION?!!!! MUST BE NICE TO BE ABLE TO DO THAT WHEN THE MAJORITY OF AMERICANS WISH THEY HAD A JOB TO TAKE A VACATION FROM. I'M SORRY, BUT MY RESPECT GOES TO THE MEN & WOMEN OF THE U.S MILITARY. SO WHILE POLITICIANS CONTINUE TO WORRY ABOUT THEIR OWN LIVELY HOOD, I WANT TO TAKE THIS TIME TO THANK THE REAL PROTECTORS OF OUR COUNTRY WHO CHOOSE TO FIGHT FOR OUR FREEDOM....THE U.S MILITARY.

    MY THOUGHTS, THANKS, AND PRAYERS GO OUT TO THE BRAVE MEN & WOMEN AND THEIR FAMILIES WHO GAVE THE ULTIMATE SACRIFICE TO MAKE IT POSSIBLE FOR MY FREEDOM TODAY, AND ALSO TO OUR NAVY SEALS WHO PERISHED IN THE RECENT COPTER CRASH. MY GOD BLESS YOU ALL

    August 8, 2011 at 8:44 pm | Report abuse |
  6. Mark

    Can I hope that this is finally the straw? Will people vote with their heads? Will we do away with the two party system and do what is best for our nation and the world? Nope. People are too dumb. Expect more of the same till a big ol rock from space takes care of the problem. Dont blame me, I voted for Perot and Nader.

    August 8, 2011 at 8:44 pm | Report abuse |
    • kevin

      You are so right. The majority of people who vote dont have a clue-they are lemmings. We need a new system-too many special interests and lets let goverment take care of us while the people who work hard and try to lead a decent life lose out.

      August 8, 2011 at 9:01 pm | Report abuse |
  7. Raymond A. Foss

    Congress needs to come back from vacation and the President and Congress need to come together and solve the financial crisis caused by Washington's inaction to address long-term systemic problems. None of them have earned a vacation, not while our Seals are dying, the credit is downgraded, the Dow crashes, and the budget, deficit, and debt are still unresolved. None of them should be running for re-election right now, they should be serving their country, who they have the privilege of representing.

    August 8, 2011 at 8:45 pm | Report abuse |
  8. tornado 171

    What happened to "Deficits don't matter"? What does senor Cheney have to say now? Can anyone answer as to what happened to this philosophy? Keynes is rolling in his grave. W wreaked the car and the tea bags just don't get it that O is trying to call a tow truck. How do I get Swiss citizenship?

    August 8, 2011 at 8:45 pm | Report abuse |
  9. RandyM

    What the downgrade means is that our economy is breaking down and we will pay higher interest rates at some point. The market is in flux now because this is the first time for the US and the dollar is used in most international trades around the world. The stock markets is also a bit psychology. As things settle Wall Street will come back. But there is a new reality and that is that the US is losing is economic dominance. Next will be military dominance and then who will go after the next Bin Laden. This is not a SP fault no more than when a someone tells a friend their spouse is cheating on them. The injured spouse gets mad at the messenger first then reality sinks in and the spouse gets busy finding out for themselves what is going on. The process takes a while but in the end the messenger is cleared of wrong doing. This is just the beginning if we don't get more fiscally minded people in congress, senate, whitehouse, state houses etc then it will continue. The problem is nothing more or less than too much debt.

    August 8, 2011 at 8:45 pm | Report abuse |
  10. JackT

    Where do I stand on S&P downgrade?
    I am all for it. In fact, I HOPE that they downgrade further, like they warned. I am as happy as can be over this!!!!

    We have a corrupt Congress, who work ONLY for Special Interest Lobbyists. And, we have a Socialist President, who is determined to BANKRUPT our country with his wild spending. He is SO arrogant, the he even said today that he doesn't CARE about our credit rating. He admits this, just as he admitted in his campaign that he wanted to RE-DISTRIBUTE THE WEALTH IN THE UNITED STATES. And, somehow, NOTHING happens to him. No one is calling for his resignation, no one is commencing Recall efforts. He STILL has a 40% Approval rating!!!!.

    SO. Our ONLY hope of saving our country is the DOWNGRADING of our credit, which SHOULD have happened two years ago. And, the three credit rating agencies, S&P; Moody's and Fitch SHOULD have downgraded to JUNK the Banks like BofA, Wells Fargo, etc. and the Investment Banks like Goldman Sachs, etc. and the Insurance companies like AIG, because they were INSOLVENT and needed to be "Bailed Out" with our tax dollars, which were borrowed from China, etc. S&P is close to irrelevant because they waited so long. Moody's & Fitch ARE irrelevant becasue they did NOTHING and stanf for nothing. It is readily apparent that if you PAY OFF the credit rating companies, especially Moody's and Fitch, you can STILL have AAA+ credit rating. Why can't the average Joe/Joan pay the credit rating agencies just like the Federal government??? I wonder how much money it takes?

    August 8, 2011 at 8:51 pm | Report abuse |
    • RandyM

      I'm not happy about it, in fact it is quite sad. Three years ago it was unthinkable now its reality. We screwed up putting Obama in charge. He does not know what he is doing.

      I think SP was correct and Moody's will follow. In fact I think Moody's chickened out a few weeks ago. They wanted to but did not want to be the bad guy. Either that or Obama somehow talked them out of it. SP did their job and their customers will reward them for it by continuing to buy their analysis. Because they know they cannot be bought.

      August 8, 2011 at 8:57 pm | Report abuse |
  11. Maeneen

    Get a grip on reality, people.
    The Obama plan to replace free markets with government driven spending is the problem.
    Stop spending and trim your bloated administration.
    This is the price we pay for electing someone with NO private sector experience. He is not a leader or problem solver.

    August 8, 2011 at 8:51 pm | Report abuse |
  12. CNNDebbie

    1) The bond market is fine. 2) This was expected and it is due to politics. 3) This is a direct result of the silly business by the TEA/GOP. Not to mention that many American's are still waiting for those jobs to materialize. 3) 2012 will be choosing between 3 evils: TEA who hates America, GOP who tanks America, or DEMS who are lightweights on America. At this point I will choose the lesser of all the evils.

    August 8, 2011 at 8:53 pm | Report abuse |
  13. Muggsy3

    I hope this downgrade is a wake-up alarm for all the "silent majority" taxpayers that this country is in trouble and that the disgraceful greed and arrogance of the policy makers in DC from the WH down, has failed us. They are supposed to be stewards of the nation and its assets; instead they have been raping the economy, the structure, and integrity of America for several decades. We need an across-the-board clean sweep of every single "career politician", term limits and strict accountabiity. It's time to run the govt as most businesses are run: good results and performance is rewarded, poor results and performance get probation or termination of employment (and NO benefits).

    August 8, 2011 at 8:54 pm | Report abuse |
  14. keith

    BOTTOM LINE; How's that HOPE and CHANGE working out for you?

    August 8, 2011 at 8:54 pm | Report abuse |
  15. ProgVet

    Where do I stand? I stand by the facts. The GOP gave us the worst deficit – near depression – in over 50 years. The GOP has contributed SQUAT to growing jobs the last two years. The Tea Party brought the whole house down around us for no reason except they wanted their way and the Republicans gave them their way. Reducing our deficit was and is necessary but doing it this way will cost untold billions and many years of suffering by the majority of Americans including the fool Teabaggers who got their way. VOTE NO-GOP in 2012!

    August 8, 2011 at 8:55 pm | Report abuse |
    • RandyM

      You must have took a bullit to the head because all you are doing is ranting. Do you have anything logical or factual to say or are you drinking the kool-aid too?

      August 8, 2011 at 8:59 pm | Report abuse |
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45