The break-even rate is an effective rate, not a nominal rate. The effective rate depends on the compounding frequency of the loan. The higher the compounding frequency, the higher the effective interest rate will be for a given nominal interest rate.
A nominal rate, or annual percentage rate (APR), represents the total cost of a loan or other debt each year as a percentage. This is the number that you will typically see reported as the interest rate for the loan. If your loan compounds annually, the effective rate for the loan is the same as the nominal rate.