A loan can be described as a debt. If you ask a friend to borrow some money, they give you the money, but is it only a loan and will need to be paid back.
If however you go to a bank and ask for a loan, the money you borrow will not be without certain conditions. You are likely to have a set time frame to repay the loan, with an agreed amount to pay over a certain period.

Demand loans are for no more than 180 days and are known as short term loans. They do not have fixed dates for repaying the loan and the interest rate is usually a floating one, which changes according to the prime rate.

A student loan is another type of loan. It helps pay for books and tuition fees and helps you with the living expenses. The interest rate is quite a bit lower than most other loans. Repaying the loan is put on hold while the individual is still in education.