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The tutorial explains how to create a personal loan agreement using DocHub PDF, which is chosen for its user-friendly fillable form feature. Users should visit the specified webpage and select their preferred format for the document. The process involves filling in the date, identifying the borrower (e.g., Johnny Appleseed), and the address (e.g., 123 Apple Way, Appleville, Texas). It also covers detailing the loan arrangement, including the lender (e.g., Nancy Appleseed) and specifying the loan amount (e.g., $10,000) with a repayment period (e.g., one year). The tutorial emphasizes that users can click on blank spaces to input necessary information seamlessly.