A conventional loan is a mortgage not insured by government agencies but backed by private lenders like banks and financial institutions. Unlike government-backed loans (e.g., FHA and VA loans), conventional loans often require higher credit scores, lower debt-to-income ratios, and larger down payments. These loans provide flexibility in terms, potentially lower interest rates, and no mandatory mortgage insurance, reflecting the higher risk taken by lenders. Borrowers are advised to consult with mortgage professionals to understand specific terms and available options.