Carey Company is borrowing $$200,000$ for one year at $12$ percent from Second Intrastate Bank. The bank requires a $20$ percent compensating balance. The principal refers to funds the firm can utilize effectively $($Amount borrowed $$ Compensating balance$).$

What would the effective rate be if Carey were required to make $12$ equal monthly payments to retire the loan?

Note: Use a $360-$day year. Input your answer as a percent rounded to $2$ decimal places.