Home loans typically involve “points,” which are fees charged by the lender. Each point charged means that the borrower must pay 1% of the loan amount as a fee. For example, if the loan is for $200,000 and 4 points are charged, the loan repayment schedule is calculated on a $200,000 loan but the net amount the borrower receives is only $192,000. What is the effective annual interest rate charged on such a loan assuming loan repayment occurs over 120 months? Assume the interest rate is .75% per month. (Do not round intermediate calculations. Round your answer to 2 decimal places.)