What is equity loan?

A home equity loan or line of credit allows you to borrow money, using your home's equity as collateral.
Some interrelated definations :
Collateral - Collaterl is the mechanism by virtue of which we are ensured gurantee that you will repay a debt. If you don't repay the debt, the lender can take your collateral and sell it to get its money back. With a home equity loan or line of credit, you pledge your home as collateral. You can lose the home and be forced to move out if you don't repay the debt.
Equity- Equity is generally described as difference between how much the home is worth and how much you owe on the mortgage (or mortgages, if you have more than one on the property).
Home equality loan-It is generally defined as second mortgage that lets you turn equity into cash, allowing you to spend it on home improvements, debt consolidation, college education or other expenses.