Did God really declare that Atheists are fools?

Many persons, Christians inclusive, misunderstand the proclamation in Christian Scriptures, which declares (I paraphrase):

The fool says in his heart, there is no God (Psalms 14:1; 53:1).

The conventional interpretation of this declaration is:

Atheists are fools.
So then Atheists hate Christians, assert Christians are bigoted idiots. After all, one insult deserves another.

Consider, however, the misunderstanding and misinterpretation of those very verses, which now I render in full (words boldened in brackets mine in spirit of an amplified reading of Christian Scriptures).

The fool says in his heart, “There is no God.” They (who say `there is no God’) are corrupt (do things that are morally wrong to others), they do abominable deeds (do evil that cannot even be spoken of), there is none (of those who say, `there is no God’) that does good (Psalms 14:1).

The fool says in his heart, “There is no God.” They (who say `there is no God’) are corrupt, doing abominable iniquity; there is none (of those who say, `there is no God’) that does good (Psalms 53:1).