There is a difference between inner and outer religion. Inner religion can be experienced, but it is hard to describe. In contrast, outer religion is full of descriptions, narratives, commandments, laws, "the literal word of God", etc. The idea behind inner religion is expressed in the first line of the Tao Te Ching, "The Tao that can be spoken of is not the Tao." Outer religion may arise from attempts to express and concretize the experience of inner religion, but these attempts fail, and outer religion imposes all kinds of trappings that are unnecessary for inner religion. The distinction between inner and outer religion sheds new light on M. Scott Peck's four stages of religious development. In light of this distinction, I would characterize them as (Stage 1) the absence of religion, (Stage 2) the imposition of outer religion, (Stage 3) the rejection of outer religion, and (Stage 4) the experience of inner religion.
People at stage 2 are frequently fearful of the atheist, characterizing the atheist as without morals. This is because people at stage 2 have experienced stage 1, which might fairly be characterized in this way, but don't yet have experience of stage 3, which is altogether different from stage 1. The pre-religious stage 1 atheist lacks knowledge of religion, while the post-religious stage 3 atheist is an informed critic of outer religion, one who has generally developed moral beliefs that do not require support from the trappings of outer religion, and even one who may use his moral beliefs as a grounds for criticizing outer religion. One of the common arguments used by stage 3 atheists against the existence of God is the argument from evil, which argues that God's existence is incompatible with the existence of evil, and since evil exists, God cannot exist. Without moral beliefs, such an argument is incoherent. What stage 3 atheists usually discover is that morality does not depend upon the existence of God, and they can be good people without being god-fearing people.
While stage 2 is frequently about the fear of God as an external being who will punish you if you don't do the right thing, stage 4 is more about the experience of something that some choose to call God, though strict identification of it with any stage 2 deities is likely mistaken. Some people at stage 4 will use stage 2 language in a very different way than people at stage 2, while others at stage 4 may shun stage 2 language. It depends more on the person and how he or she chooses to express his experiences, if at all. While people at stage 3 can be informed critics of outer religion, it is hard to be an informed critic of inner religion. Stage 2 formulates ideas that are more or less easy to knock down, but stage 4 is grounded more in experience, and experience usually isn't something that you can argue for or against.