"Financial innovation" has become a four-letter word after the financial crisis, with many exotic financial instruments sending tidal waves of risk through a shaky system. However, Bank of The Internet (NASDAQ:BOFI) has tackled this bloated industry with innovation of a different sort: an online-only bank. Their branchless operation has dramatically increased their loans since inception and has some eye-popping potential. 

Matt Koppenheffer has no position in any stocks mentioned. The Motley Fool recommends BofI Holding. The Motley Fool owns shares of BofI Holding. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.