Assume you want to borrow $300,000 and have been presented with two options. The first option is a fully amortizing loan with an interest rate of 3% and $4000 of origination fees and points. The second option is an interest only loan with an interest rate of 4% and $5000 of origination fees and points. Both loans are for 30 years and have monthly payments. What is the effective rate (or cost) of the interest only loan if it is held for the entire 30 years or longer?

(A) 4.10%

(B) 4.07%

(C) 3.93%

(D) 4.24%