Many different types of loans are available, each with its purpose and terms. Some of the most common types of loans include:

• Personal loans: Personal loans can be used for various purposes, such as consolidating debt, paying for unexpected expenses, or financing a major purchase. Personal loans are typically unsecured, meaning they are not backed by collateral.

• Auto loans: Auto loans are used to finance a car purchase. Auto loans are typically secured by the car, meaning the lender can repossess the car if the borrower defaults.

• Student loans: Student loans are used to finance the cost of education. Student loans can be either federal or private. Federal student loans typically have lower interest rates and more flexible repayment options than private student loans.

• Mortgage/Home loans: Mortgage loans are used to finance the purchase of a home. Mortgage loans are typically secured by the home itself, which means the lender can foreclose on the home if the borrower defaults.

• Business loans: Business loans are used to finance the start-up or expansion of a business. Business loans can be secured or unsecured and come from various sources, such as banks, credit unions, and online lenders.