A deed of trust is a document that embodies the agreement between a lender and a borrower to transfer an interest in the borrower’s land to a neutral third party, a trustee, to secure the payment of a debt by the borrower. Like a mortgage, it pledges real property to secure a loan. It is used instead of a mortgage in certain states.
On the other hand, a trust agreement is a document establishing a trust (a legal entity created by a party, the trustor, through which a second party, the trustee, holds the right to manage the trustor's assets or property for the benefit of a third party, the beneficiary.)
However, sometimes, a trust agreement is called – incorrectily – a deed of trust.
