A corporate customer obtains a 1.5 million loan from a bank. The customer agrees to pay a 6.25% interest rate and agrees to make compensating balances of 4% of the loan amount. These will be held in noninterest-bearing transactions deposits at the bank for one year. The bank charges a 1% loan origination fee on the amount borrowed. Reserve requirements are 10%. What is the expected rate of return to the bank?