Secured LoansSecured vs. Unsecured Personal Loans: What’s the Difference? While there are many ways to distinguish different lending products, including how the interest is structured, it’s especially important to know the difference between secured and unsecured personal loans. Whether a loan is secured or unsecured has a great impact on the type of offers a consumer can get, but also weighs heavily on what will occur if they’re unable to repay the loan.