5 Wall Street banks failed their 'living will' tests

According to a release Wednesday from the Federal Deposit Insurance Corporation, five "too big to fail" banks failed to submit effective plans for a possible bankruptcy

The "living wills" - or plans of big banks to wind down operations in the event of bankruptcy - of JPMorgan, State Street, BNY Mellon, Bank of America, and Wells Fargo were found to be "deficient" by both the FDIC and the Federal Reserve.

Just the FDIC rejected Goldman Sachs plan, while the Fed alone found Morgan Stanley's plan deficient.

Citigroup was the only of the eight "too big to fail" banks to have its plan approved by both regulators.

This is the third round of palns submitted by the Wall Street banks. If the wills are not eventually accepted by the regulators, the firms could be subject to rules increasing capital requirements that could impact their profitability.

According to the release, the next deadline for submitting the wills is July 1, 2017. The measure was part of the Dodd-Frank Reform Act in 2011, and the first round of wills was submitted in 2014

On a conference call following earnings Wednesday, JPMorgan CEO Jamie Dimon said that the firm was "going to do everything we can to fix this issue."

On the same call, JPMorgan CFO Marianne Lake said:

Obviously we were disappointed with the conclusion reached by the joint agencies on our resolution plan that's out this morning. We've taken this planning process very seriously and we believe we've made substantial progress. Having said that, the most important thing is that we work with our regulators to understand their feedback in more detail and we're fully committed to meeting their expectations.

We believe that it's in everyone's best interests to end the debate on Too Big To Fail and that together with adequate levels of capital, liquidity, TLAC, and stress testing, recovery and resolution plans are critical components and we're committed to their success."

JPMorgan, State Street, BNY Mellon, Bank of America, and Wells were not immediately available for comment.