Terry cloth is a fabric with looped fibers. The loops fibers allow the fabric to soak up water well. It is best used for bath towels, washcloths, spa-wear and robes.
French Terry is a casual knit fabric that has loops on one side and a smooth knitted surface on the other side. Normally the loops are on the back, but in modern fashion, the loops can be worn on the outside of the garment.