PRESIDENT OBAMA: Everybody should say one of the most valuable things we have is America's credit worthiness. This is not something we should even come close to fooling around with. So when I read people saying, no, this wouldn't be a big deal, we should test it out. Let's take default out for a spin and see how it rides.
I say, imagine in your private life if you decided that I'm not going to pay my mortgage for a month or two. First of all, you're not saving money by not saving your mortgage. You're just a deadbeat. And you can anticipate that will hurt your credit, which means that in addition to debt collectors calling, you're going to have trouble borrowing in the future. And if you are able to borrow in the future, you're going to have to borrow at a higher rate. What's true for individuals is also true for nations, even the most powerful nation on earth.