A legend is a traditional story tied to a real or supposedly real person, place, or event and told as if it belongs to human history—even when it includes miracles or exaggerated details. A folktale is a more freely adapted traditional narrative (such as a fairy tale or animal story) that is generally understood as fiction rather than a historical account.
Folklorists often follow the Brothers Grimm distinction that a legend is a “folktale historically grounded,” while myths more often center on gods, cosmology, or origins rather than human history. (Source: Wikipedia — Legend)