An unloader distributes the bypass water partially when the wand is keyed and there is flow tot he outlet, and bypasses completely open without restriction when the wand valve is off(no flow to the outlet). When the unloader is bypassing during no flow to the wand, it is at near zero pressure at the outlet, thus the pump itself is "unloaded".
A "regulator", as used on a TM, bypasses partially when the wand is keyed, and fully when the valve is off. the difference being that there is always restriction, inducing pressure at all times.
The unloader's advantage is that the pump is de-stressed, or unloaded when there is no wand flow. This puts less wear on the pump seals, and lowers heat buildup in the bypass loop. The downside is that the valve may only be set for pressure when you are actually spraying the wand. This means you have to have the wand handy at the truck, or communicate with a helper at the end of the line.
One may not replace an unloader with a regulator if bypass loop heat buildup would lead to cavitation or overheating of the pump. If the bypass loop is of sufficient volume, then this is usually not a problem.
On the other hand, you can usually always replace a regulator with an unloader. However, some people are irritated by the fact that the pressure gauge will not read a pressure until the wand is keyed. As previously mentioned, it makes a a little more work to set the pump pressure. Usually a system designed to use a regulator is built to to tolerate the bypass loop heat.