I believe the two terms are synonymous. This is based on the idea that man actually is being transformed and being made righteous/sanctified. With that understanding, would you agree?
I think this would be obvious to a Catholic. Our role is exactly like Mary's. We are to say, "Behold the servant of the Lord. Let it be to me according to your word." Mary played no part in her work except submission. Likewise we play no part in our work except submission.
Yes, there is a lot of truth to what you say. God instills within us the desire to submit, so even that is not our OWN work.
But there is a subtle arrogance underlying our attitude and actions.
You present one of the positive principles of the Reformation! Yes, I said it!
There was an undercurrent of "works salvation" in the Catholic Church, and a corrective was needed. We should take a more balanced approach, however, so as not to destroy the original reformers' intent. Correction does not have to lead to dissension or dissolving of the Church.
You seem to over-emphasize God's work and under-emphasize our response. I believe the Council of Trent spoke against this. You are correct to call to attention that it is God who works within us, but sometimes, I think you should consider being more balanced, recognizing that man is a secondary cause for his actions - otherwise, man is not properly being judged. We are responsible for using God's graces at some level. Thus, I think we should consider that Scriptures appeal to both ideas.
Regards
When King Jehoshaphat was attacked and he sought the Lord, God told King Jehoshaphat that he wouldn't have to lift a finger, God would fight for Him. Same way with Gideon. And numerous other people in scripture. He makes ax heads float, part seas, and keep the oil running when it should have run out all without us lifting a finger.
God works all things for OUR good. All He wants is us to believe in Him. It's that simple and that complex.