United States - Credit Rating (2024)

FAQs

What is the credit rating of the United States? ›

Fitch Affirms the United States at 'AA+'; Outlook Stable. Fitch Ratings - New York - 01 Mar 2024: Fitch Ratings has affirmed the United States of America's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'AA+' with a Stable Outlook.

In a statement, Fitch cited three reasons for downgrading the US rating: concerns the US economy is going to deteriorate over the next three years; a high national debt; and repeated political standoffs over managing the country's finances (specifically, brinksmanship over the country's self-imposed debt limit, the cap ...

On August 1, 2023 Fitch downgraded USA long-term credit rating to AA+ from AAA. Following the downgrade, economists argued that higher interest rates will result in higher mortgage rates and also assert that relying on foreign financing can have risky economic implications.

This is the second time the US government's debt has been downgraded. The first downgrade took place in 2011, when credit rating agency Standard & Poor's cut the US credit rating from AAA to AA+, following a rancorous debate in Congress over the size of the debt.

In the U.S., the average credit score is 716, per Experian's latest data from the second quarter of 2023. And when you break down the average credit score by age, the typical American is hovering near or above that score.

S&P, the other major global rating agency, also rates China A+, the equivalent of Moody's current A1 rating.

What countries have credit scores? Countries around the world including Canada, the U.K., Spain, China, and Japan use credit scoring systems. Not all countries that use credit scores have systems like the U.S. Some only track negative marks like late or missed payments, while others track total debt or debt history.

If U.S. debt grows and the government struggles to address it, consumers could face higher interest rates for loans since the nation and its borrowers would be deemed less trustworthy, they added. That would mean higher costs for borrowing for everything from credit cards to mortgages to cars.

Why did S&P downgrade US? ›

S&P controversially downgraded the long-term credit rating from AAA representing a "risk free" rating to AA+ as early as 2011, citing political polarization after another debt ceiling squabble in Washington.

Microsoft (MSFT)

Johnson & Johnson may be facing its talc lawsuits, but in the eyes of credit ratings agencies, it's still AAA rock solid. J&J continues to hold its AAA rating, the only company in the stable health care sector to do so.

The co... SAN FRANCISCO (S&P Global Ratings) July 29, 2021--S&P Global Ratings today assigned its 'AA+' rating to Cupertino, Calif. -based Apple Inc.'s senior unsecured notes due 2028, 2031, 2051 and 2061.

The highest credit score for a nation is AAA. The United States, Denmark, Canada, Australia, Switzerland, Sweden, Hong Kong, and Norway all have this score.

The US is the only sovereign to which Moody's assigns an economic strength score of "aaa," the highest score possible, reflecting the sheer scale of the economy (nominal GDP was nearly $26 trillion in 2022), consistent resilience to shocks, and the unique role that the economy plays globally.

Highlights: While older models of credit scores used to go as high as 900, you can no longer achieve a 900 credit score. The highest score you can receive today is 850. Anything above 800 is considered an excellent credit score.