A loan contract refers to a contract in which the parties agree that one party will transfer the ownership of a certain kind and quantity of currency to the other party, and the other party will return the similar kind and quantity of currency within a certain period of time. A loan contract refers to an agreement that a financial institution, as a lender, accepts the borrower's application, provides loans to the borrower, and the borrower repays the loan principal and pays the loan interest at maturity. The borrower shall use the loan for the agreed purpose and shall not use it for illegal purposes. The purpose of the loan agreed in the loan contract shall not violate the provisions of the state on restricting operation, franchising and prohibiting operation by laws and administrative regulations. The most obvious difference between a loan contract and a loan contract is that the parties are different. The lender of a loan contract is usually an individual or an enterprise, and one party to the loan contract is usually a bank. Because of the different parties, the loan contract is stricter than the loan contract.