A secured loan is tied to something you own, usually your home. If you don't keep up payments the lender can ultimately ask the court for possession. Second-charge mortgages are the most common example.
An unsecured loan (personal loan, overdraft, credit card) is not tied to any asset. Falling behind still damages your credit and can lead to a CCJ, but no specific item is at risk.
Both count as debt on your budget, but only secured loans usually count as a priority debt in a UK debt-help context.
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