Progreso Financiero, a nonbank lender that targets Latino consumers, plans to change its name to Oportun.

The Redwood City, Calif., company said in a news release Monday that the name change grew out of consumer research it conducted recently. The firm's new moniker is derived from the Spanish word "oportunidad," which means "opportunity." The name change will be completed by the end of 2015.

Chief Executive Officer Raul Vazquez said the firm was looking for a name "that builds on our customers' perception of our company and what we do for them, and we wanted the name to be short and memorable.

Progreso operates 130 locations in California, Illinois and Texas. Since making its first loan in 2006, the firm has lent out more than $1.3 billion.

From a borrower's standpoint, Progreso's unsecured installment loans generally compare favorably with traditional payday loans. In 2013, about two-thirds of the firm's loans had annual percentage rates of 30% to 39.99%, according to a report filed with the state of California.

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