Several of the nation's biggest banks might begin the process of repaying government bailout money next month after the U.S. Treasury Department completes stress tests of their balance sheets.

Most analysts expect the banks that received the initial round of funding from the Troubled Asset Relief Program, or TARP, will pass the tests. They might then begin the process of formally discussing with regulators paying back the money.

Those banks - which include Citigroup Inc. (C), JPMorgan Chase & Co. (JPM), Bank of America Corp. (BAC), Goldman Sachs Group Inc. (GS), and Morgan Stanley (MS) - have signaled they want to get out from under government restrictions that come along with the money. Last week, the House of Representatives passed a bill that would heavily tax bonuses paid to workers at companies that took more than $5 billion in TARP money; a similar Senate bill has been delayed.

There's also concern that regulators might not want banks to repay their government investments too quickly because of the uncertain economic environment. Repaying might also cause questions about the condition of those banks that delay paying the government back.

Here's what the top U.S. banks have said about repaying TARP, and what financial headwinds they face:

- JPMorgan Chase is looking into ways to return the government's $25 billion investment within the next three to eight months, a person familiar with the matter said. The company is considered to be in the best shape among rival commercial banks, and Chief Executive Jamie Dimon said on March 11 that the bank was profitable during the first two months of the year.

The bank cut its dividend 87% last month to 5 cents a share, the first time since 1990 the company has made a cut. That will save $5 billion a year, and could be used to help pay off government funds. The company's tangible common equity ratio is at 3.86% Tangible common equity, a conservative measure of capital, will be measured in the upcoming stress test.

- Bank of America CEO Ken Lewis said Tuesday that his company would like to start repaying its $45 billion in government aid next month; the Treasury also agreed to backstop as much as $120 billion of the bank's assets. Paying off the government investment could take a while.

Bank of America holds the lowest tangible common equity ratio of any large bank, ringing in at 2.54%. The bank's earnings are vulnerable to rising unemployment, as well as troubles in the commercial real estate market. Bank of America nonetheless expects to take in "close to $50 billion in pre-tax, pre-provision earnings" this year - that's before subtracting losses from bad loans - which means the bank should quickly recover once the economy bottoms. The question is when that will happen. Moody's on Wednesday lowered its credit ratings on Bank of America, citing, among other things, an increasing "probability that systemic support will be needed."

- Citigroup is the most hard-hit bank since the financial crisis began, and currently owes the government $45 billion. The government also allocated more than $300 billion as a loan-loss backstop for the bank. The bank said there is no current need for capital after the conversion of a large chunk of preferred stock into common shares. The bank will have a tangible capital ratio of 3.98% once the deal is completed, up from 1.55%.

CEO Vikram Pandit said earlier this month that the bank is also off to a strong start this year. However, like other banks, there remain concerns about consumers defaulting on other debt such as credit-card debt.

- Wells Fargo & CO. (WFC) opposed receiving the government's TARP funds perhaps more than any other bank. Six months after the U.S. government forced Wells to accept $25 billion in government aid, however, the San Francisco bank has far less room to complain.

Wells Fargo purchased crumbling rival Wachovia Corp. and dropped its tangible common equity ratio to 2.82% - less than any large bank except Bank of America - after taking billions of dollars in up-front losses from Wachovia's troubled loans. The bank will likely need to prove to regulators that losses from its piles of consumer loans have peaked before the bank will be able to repay TARP. Wells Fargo may have traded a quick return to independence for the opportunity to become a coast-to-coast financial superstore.

- PNC Financial Services Group Inc. (PNC) may very well have the clearest path of any large bank for repaying its $7.6 billion government aid. The Pittsburgh-based regional bank accepted its government aid to purchase rival National City Corp.

But growing troubles among PNC's $100 billion in construction and real estate loans have pushed its tangible common equity ratio to 2.92%, and could leave the company vulnerable should the U.S. recession grow worse than expected. Like other large banks, to rebuild capital and repay the government more quickly, PNC recently slashed its dividend by 85%.

- Goldman Sachs looks set to become the first financial company to return TARP money to the government. It could repay the $10 billion it received by late April, according to a person briefed on the matter. The timing would most likely be after Goldman passes the stress test and reports first-quarter results.

It is widely expected that Goldman will pass the government's stress test, and the company has already said it is on track to post a profit this quarter. Goldman also wants to return the money quickly because it has the means to do so, with more than $100 billion in cash sitting on its balance sheet.

- Morgan Stanley CEO John Mack said in February he wants to return the $10 billion of TARP funds by the end of 2009. Morgan Stanley, like Goldman, is also considered to be in a strong position at the start of the year. Beyond a rebounding stock, Morgan Stanley has done well during the first two months of the quarter, Mack has stated.

As for its capital position, the bank last year raised $9 billion by selling a 21% stake to Japan's Mitsubishi UFJ Financial Group Inc. (MTU). Both banks are in the midst of developing cross-selling opportunities, which might include combining brokerage operations in Japan.

-By Joe Bel Bruno, Dow Jones Newswires; 201-938-4047; joe.belbruno@dowjones.com

-By Marshall Eckblad, Dow Jones Newswires; 201-938-4306; marshall.eckblad@dowjones.com