Ideally, you use an accessible name like group wallet, but you describe the multi-signature aspect similar to 2FA, which is already widely understood.
Transaction approvals can be hard to understand for people new to crypto. Improved UX plus accessible language is the key to onboarding more people on-chain.
multisig is consistent with multi-party computation, a frontier of soon to come zk-proofs 🌿
Groupwallet is a bad name because it implies their must be different users on a multisig. Multisig are useful for security / and can be used by solo individuals.
The difference is in the precision of the term.
Multisig sounds more technically correct, while groupwallet is more user-friendly.