By John Byczkowski
The Cincinnati Enquirer

When it comes to customers of different races, banks usually claim they treat everyone equally. But that is why many banks aren't succeeding with black and Hispanic customers, marketing expert Vada Hill told a group of Realtors and Fifth Third Bank loan officers Tuesday.

Hill, a Cincinnati native and chief marketing officer for mortgage banker Fannie Mae, compiled data from almost 10,000 consumers for their attitudes on borrowing.

Hill said many minorities fall into consumer classifications he named "financially challenged" and "friends and family." The financially challenged worry about their credit - even when they don't have to - and they don't trust technology. The friends and family category relies on personal contacts when shopping for a mortgage. Both groups are concerned with their financial stability, and they are more concerned with getting approved for a loan than with getting the lowest rate.

Hill said banks need to be aware of how they are alienating these customers, such as by forcing the technology-wary to pay fees to deal with tellers while they push ATMs and Internet services.