Bank of America Corp. is in talks with the Justice Department and state regulators to pay at least $12 billion to settle civil probes into its alleged handling of shoddy mortgages, the Wall Street Journal reported. The bank will pay at least $5 billion towards consumer relief. That figure includes help for homeowners to reduce their principal amounts and monthly payments, according to the sources in the Journal story. Bank of America's final payment to end investigations and lawsuits into its mortgage operations before the financial crisis will exceed the record $13 billion that J.P. Morgan Chase & Co. paid last years, the sources said. If a settlement is agreed, it would be another major penalty against a large financial institution by the Justice Department. Negotiators for the government are pushing the bank to pay billions more and put up more cash as part of the deal. Under the terms of the proposed deal, at least half of the settlement would be in the form of help
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