A banks review of its auto loans estimates credit losses of 1.33 percent annually (Hint: this loss percentage is in reference to the principal or outstanding balance on its loans.) The bank

currently has gross auto loans of $2, 000, 000. If the bank wants to earn a rate of 4.5 percent

(after losses) on its auto loans, what rate should it charge its borrowers? Express your answer as a percentage rounded to two decimal places (i.e. four and a quarter percent is 4.25)