There are some common things you should know about Personal Loans.  There can be secured or unsecured, meaning there is no property used as collateral for the loans. Unsecured personal loans are not secured by a home, a car, a yacht, lands.  Furthermore, the interest rate makes the difference.  For example, interest rates for unsecured personal loans are higher than secured loans.  Most of the times, personal loans have a fixed term.  Personal loans are often due at the end of a set term, and the interest rate is fixed.  Keep in mind that personal loans can also work as a revolving line of credit and the interest rate is variable.