There are several types of loans available to borrowers, each designed for specific needs. A personal loan is typically unsecured and can be used for various purposes, such as consolidating debt or financing a vacation. Mortgage loans are secured loans used to purchase real estate, where the property serves as collateral. Another common type is the auto loan, which helps individuals buy vehicles, with the car itself as collateral. Student loans are designed to help cover the cost of education, often with lower interest rates and flexible repayment options. Each loan type has its own terms and conditions.