So, imagine you are playing with your toy cars. Now, sometimes you want to pretend that your toy car is driving all by itself. To do that, you make a loop with your hand and let the car drive in circles in that loop.
A loopback interface is kind of like that loop with your hand. It's a special way for your computer to talk to itself. Just like how you make a loop with your hand to make the car drive in circles, your computer uses the loopback interface to send information from one program to another inside the same computer.
So, let's say your computer has two programs running that need to talk to each other. Instead of sending that information outside of the computer and then back in again, which could take a long time, the programs can use the loopback interface to talk to each other quickly within the same computer.
In summary, a loopback interface is a special way for your computer programs to talk to each other quickly and efficiently within the same computer. It's like making a loop with your hand to make your toy car drive in circles.