BofA (BAC)(WFC)(JPM)(C) Fighting Foreclosure Settlement Proposal

The giant banks are fighting to reduce the amount and terms of a probable settlement concerning foreclosures, as Bank of America (NYSE:BAC), Wells Fargo (NYSE:WFC), JPMorgan (NYSE:JPM) and Citigroup (NYSE:C) are growing more vocal with their criticism of the idea, but also looking at the best ways to go forward.

Banks are claiming it could do irreparable harm to the U.S. economy if they are forced to pay for write-downs of loans held by government-controlled Fannie Mae and Freddie Mac.

Wells Fargo CEO John Stumpf said, "It's important to the country so that whatever happens does not slow down the recovery."

One of the tools being used to strengthen this argument is how long it would take to go through the foreclosure process if the proposals go forward. Bank of America has estimated it could take up to 200 days, while JPMorgan asserts it could go on for as long as a year.

Concerning the fairness of the proposals, BofA Chief Executive Officer Brian Moynihan said, "When you start helping certain people and don't help other people, it's going to be very hard to explain the difference."