You are evaluating a loan application for a $1-$year loan from an applicant whose credit score suggests that their default probability is $6\mathrm{.}8\%.$ In case of default, you anticipate no recovery. The $1-$year risk free rate is $2\mathrm{.}7\%.$ What credit spread must you charge the applicant such that you will receive fair compensation for this credit risk? In other words, so that after bearing any expected losses, you will on average earn the risk free rate?

Enter answer in percents.