NEW YORK (MarketWatch) - BofI Holding, Inc., the parent company of Bank of Internet USA, traded close to its $11.50 IPO price in its stock market debut on Tuesday.

Bank of Internet debuts close to $11.50 price.

BofI priced 2.25 million shares, near the middle of the $9-$13 range, in a bid to raise about $26 million in its initial public offering with underwriter W.R. Hambrecht.

The stock opened at $11.65 and recently changed hands at $11.40 in afternoon action on the Nasdaq.

Like last summer's IPO from Google (GOOG: news, chart, profile) and the upcoming IPO from mutual fund rating firm Morningstar, Bank of Internet went public under the IPO auction system that collects bids and allocates shares from individual investors via the Internet.

Based in San Diego, BofI originates customer deposits and single family mortgage loans on a nationwide basis.

"Our Web sites provide a user-friendly interface where our customers open accounts, review interest rates and terms, enter loan applications, lock in interest rates and monitor loan processing," the company said in its IPO filing. "Our deposit customers pay bills online, view cancelled checks and use our free ATM or VISA check cards."

As of Dec. 31, the bank listed total assets of $513.1 million, net loans held for investment of $417.9 million and total deposits of $320 million.

During the past three fiscal years, the company has increased its annual net income to $2.2 million from $1.1 million.