R & G Financial Corporation
| Company type | Financial holding company (defunct) |
|---|---|
| Industry | Financial services |
| Defunct | May 14, 2010 |
| Fate | Filed for Chapter 11 bankruptcy; assets taken over by FDIC and transferred to Scotiabank |
| Headquarters | San Juan, Puerto Rico |
Area served | Puerto Rico, Florida |
| Products | Banking, trust management, brokerage, loans, mortgage financing |
Number of employees | 2404 (2004) |
The R & G Financial Corporation—also recognized as RG Financial or R-G Financial—was a financial holding entity headquartered in San Juan, Puerto Rico. Its banking operations collapsed on April 30, 2010, leading to the Federal Deposit Insurance Corporation (FDIC) taking control of its deposits and assets, which were later transferred to Scotiabank. Subsequently, on May 14, R & G Financial initiated proceedings under Chapter 11 bankruptcy protection.
Through its subsidiaries, including RG Premier Bank, RG provided a comprehensive array of financial solutions in Puerto Rico and Florida, encompassing banking services, trust management, brokerage activities, and diverse loan products. Additionally, RG Mortgage stood as one of the largest mortgage providers on the island. The company’s main office was situated at 290 Jesús T. Piñero Avenue in the Hato Rey district of San Juan.
Summary
The core revenue and asset base of RG Financial originated from commercial lending—primarily in commercial real estate and construction—alongside consumer lending such as automobile loans, personal credit, and credit cards, as well as residential mortgage financing. By 2005, it operated a network of 66 branches across two main subsidiaries: RG Premier Bank serving Puerto Rico and RG Crown Bank covering markets in Orlando, Tampa, and St. Petersburg, Florida.
To strengthen its market position against larger financial institutions in both Puerto Rico and Florida, RG Financial pursued growth through strategic acquisitions. These included Caribbean Federal Savings Bank (1993), Fajardo Federal Savings Bank (1998), Continental Capital Corp. (1999), and Crown Group, Inc. (2002). The company also expanded by acquiring 18 branches from Wachovia Corporation in 2004 and obtaining mortgage servicing rights from Banco Santander in 1998.
By the year 2004, RG Financial's total assets exceeded $10.20 billion, supported by a workforce of approximately 2,404 employees.