Having work with Oracle databases, I regularly stumble upon incorrectly interchanged terms. The 1st is database and instance. A database is a collection of data. An Oracle database holds its data in a coordinated set of files stored on disk. An instance, on the other hand, is a collection of Oracle background processes and shared memory structures. Normally a database is mounted and opened by one instance, this misleads some people into perceiving database and instance as the same thing while fundamentally they are not.
The 2nd is user and schema. A database consists of multiple users that one can connect to. A schema is the set of objects (tables, views, indexes, etc.) that belongs to a user account. So again, these are essentially different.
My prejudice for these misuse is that when one knows a technical jargon, one will have the tendency to overuse it, in hope to be perceived as technologically advanced. "Database" and "user" are too common and sound less technical compared to "instance" and "schema", but these terms refer to different meanings. Let's use them appropriately.
Reference: orafaq.com
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