Karen and Wayne Need to Buy a Refrigerator Because Theirs

Short Answer

Karen and Wayne need to buy a refrigerator because theirs just broke. Unfortunately, their savings account is depleted, and they will need to borrow money to buy a new one. The bank offers them a personal loan at 11% (APR), and BigBox offers them an installment loan at 11% (add-on-rate). Suppose that the refrigerator at BigBox costs $1,331 plus 4% sales tax, and Karen and Wayne plan to pay for the refrigerator for 2 years. Should they finance it with the bank or with BigBox?
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(with the bank / with BigBox / with neither; the interest rate is too high)