A folk tale is a story that has its roots known as an oral tradition, and this means that the story has been passed down through generations. Since folk tales are seldom discovered through the written word, the story can have added or excluded elements as they are told by the person telling it. On the other hand, a fairy tale also takes its roots from oral tradition, but it involves magical aspects, including dragons, princesses, princes, witches, and unicorns. While the folk tale is told from a base of real-life experiences, fairytales are pure fiction.
Both types of storytelling contain morals within the stories focusing on characters who go through something but end up making things right. In folk tales, the characters resolve their issues using their human abilities. The reader is made aware of what is at stake for the main character, and there is a real-life lesson to be learned.
The folk tale is usually centered on common folk and their culture, and Folklore is told. Fairy tales are created, and the characters are stereotypically based on certain fictional elements such as fair maidens and evil stepmothers. The Princess has to be saved by the prince, with magical creatures' assistance, perhaps a dragon or troll. Fairy tales usually remain true to one or two specific themes. However, both fairy tales and folktales are popular genres in children's literature.