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The video tutorial explains how to create a personal loan agreement using DocHub PDF. To start, users should navigate to the webpage and select their preferred format, with DocHub PDF recommended for ease. The form is fillable; users click on blanks to input details. For example, they enter the date, the borrower's name (Johnny Appleseed), and address (123 Apple Way, Applebill, Texas 12345). The tutorial illustrates a scenario where Johnny lends his wife, Nancy Appleseed, $10,000, to be repaid within a year. Users fill in the loan terms, including the amount and repayment period, ensuring all necessary details of the agreement are properly documented.