Banco Popular de Puerto Rico
| Company type | Public |
|---|---|
| Industry | Financial services |
| Founded | 1893 |
| Founder | Rafael Carrión Sr., Manuel Muñoz Barrios |
| Headquarters | Hato Rey, San Juan , Puerto Rico |
Area served | Puerto Rico, United States, Caribbean territories |
Key people | Richard L. Carrión (President and CEO) |
| Products | Banking, credit cards, investment banking, retail brokerage, insurance, mortgage, leasing, asset management |
Popular, Inc., known as Banco Popular in Puerto Rico and the Virgin Islands, and as Popular Bank within the continental United States, is a diversified financial services organization with a legacy exceeding 130 years in Puerto Rico and over six decades on the U.S. mainland. Recently, it has extended its operations into additional Caribbean territories. The BPPR emblem stands for Banco Popular de Puerto Rico, symbolizing its foundational market.
The corporation owns Banco Popular de Puerto Rico, Popular Bank, along with several other affiliated entities.
Its corporate headquarters are situated in Hato Rey, San Juan.
History
Established in 1893 during Spanish governance of Puerto Rico, the bank’s early leadership included Rafael Carrión Sr. and Don Manuel Muñoz Barrios, who served respectively as its first president and administrator.
In the 1970s, Popular cemented its status as Puerto Rico’s leading financial institution by acquiring a controlling interest—two-thirds—of Banco de Crédito y Ahorro Ponceño, marking its entry into the credit card market. The company also enhanced its public profile through widely recognized television advertisements featuring a humorous middle-aged character.
After the passing of Rafael Carrión Sr. in the 1980s, leadership transitioned to Richard L. Carrión, who prioritized strengthening the corporate brand and driving expansion.
In 1989, Banco Popular introduced the Club del Ahorro (Savings Club), a program designed for children that featured the mascot "Populoso" to promote financial education and encourage youth account openings.
1990s
A significant milestone occurred in 1990 when Banco Popular merged with Banco de Ponce, one of Puerto Rico’s largest banks at the time. This merger prompted the renaming of Banco Popular’s holding company to BanPonce Corporation. Further growth included the 1997 acquisition of Banco Roig, a prominent bank serving the island’s eastern region.
Late in the decade, regulatory reforms enabled Popular to broaden its range of services beyond conventional banking. This diversification led to the establishment of subsidiaries such as Popular Auto, Popular Finance, Popular Mortgage, Popular Insurance, and Popular Leasing.
Popular Securities was launched during this era as a key subsidiary specializing in investment banking, retail brokerage, and institutional sales. It developed an extensive brokerage network across Puerto Rico, competing with firms like UBS and Banco Santander, while also expanding operations to cities including New York City, San Antonio, Houston, and Chicago.
2000s
Reflecting its expanded footprint within the U.S., the company adopted the name Popular, Inc. in 2000 to unify its subsidiaries under a consistent brand identity.
The corporate structure was reorganized into three principal subsidiaries: Banco Popular de Puerto Rico under David Chafey Jr., Popular Bank led by Roberto Herencia, and Evertec with Felix Villamil at its helm. Richard Carrión continued as president and CEO of Popular, Inc.
In 2005, Fortune included Popular, Inc. among its list of 100 Best Companies to Work For.
That same year, Popular Bank entered into a five-year sponsorship agreement with the New York Mets, operating seven ATMs and maintaining advertising presence at Shea Stadium until its closure in 2008 when the team relocated to Citi Field.
Present
Popular's global headquarters are situated in the Hato Rey financial district of San Juan, specifically along the Milla de Oro ("The Golden Mile"), a prominent center for banking activities. The company's iconic headquarters can be seen from the nearby Luis Muñoz Marín International Airport.
From 2010 through 2012, Popular rebranded its branches on the U.S. mainland under the name Popular Community Bank, aiming to broaden its appeal to non-Hispanic clientele. This initiative began in Chicago and expanded to Southern California, Florida, New York City, and New Jersey.
By January 2012, Popular, Inc. had an outstanding debt of $935 million owed to the U.S. government through the Troubled Asset Relief Program.
In March 2013, Popular divested a $568 million portfolio of non-performing loans to a joint venture formed by Caribbean Property Group and investment funds linked to Perella Weinberg Partners.
During 2014, Popular Community Bank sold numerous mainland branches located in Central Florida, Illinois, and Southern California as part of cost-cutting measures and to bolster capital reserves amid Puerto Rico’s economic downturn and rising foreclosure rates. Following these sales, the bank maintained 49 branches across South Florida, New Jersey, and New York. On September 12, 2014, Harbor Community Bank acquired Popular’s branches in Orlando and central Florida. Subsequently, on November 7, 2014, Banc of California purchased 20 branches in Southern California.
In 2018, Popular Community Bank underwent a rebranding process adopting Popular Bank as its official legal name while using Popular as its commercial brand.
Stats
In 2007, Banco Popular was recognized as the Best Consumer Internet Bank in Puerto Rico by Global Finance.
Timeline (2005–present)
- 2005: Popular finalized the acquisition of Quaker City Bank, establishing California as its largest regional market. It also acquired Infinity Mortgage in New Jersey. On August 3, Popular announced a $300 million merger agreement to acquire E-Loan. In September, it sold Popular Cash Express to ACE Cash Express for $36 million. That same year, Forbes ranked Popular as the 691st largest company worldwide.
- 2007: Banco Popular North America sold five out of six Texas branches to Prosperity Bank. Additionally, it acquired Citibank’s retail operations in Puerto Rico, including nine branches and Smith Barney’s local business.
- 2008: Popular agreed to transfer assets of Equity One, its U.S. mainland consumer finance division, to American General Finance (AIG).
- 2010: Banco Popular took over competitor Westernbank following its failure and subsequent FDIC takeover. On October 1, it sold a majority 51% interest in Evertec to Apollo Management.
- 2015: Banco Popular assumed deposits from the failed Doral Bank after regulatory authorities intervened.
- 2018: The rebranding of Popular Community Bank to Popular Bank was completed with the new name adopted for both legal and commercial purposes.
Puerto Rico
- Banco Popular de Puerto Rico
- Popular Auto
- Popular Securities
- Popular Asset Management
- Popular Insurance
- Popular Mortgage
United States
- Popular Bank
- Popular Business Banking
- Popular Association Banking
- Popular Equipment Finance
- Popular Direct
- Popular Private Client
Virgin Islands
- Banco Popular Virgin Islands
Divested subsidiaries
- Popular Cash Express (transferred to ACE Cash Express in 2005)
Musical tradition
To commemorate its centennial, Popular created a televised musical production showcasing Latin-American talent. Building on this achievement, the company initiated yearly live Christmas concerts and television specials featuring artists from Puerto Rico and abroad, which were aired locally and made available on CD and DVD formats.