is Federal Direct Loans the same as [Subsidized] Stafford loans?

Answer 1

Yes. There are two basic federal loan programs: FFELP (Federal Family Education Loan Program) and Direct Lending (a.k.a "DL"). As such, there are two Stafford Loans programs: Federal Stafford and Direct Stafford. Both programs are backed by the federal government. The fundamental difference between the two is that FFELP loans are channeled from the government to the student VIA a private lender (e.g. Sallie Mae, Citibank). Direct loans don't involve the private "intermediate" company.

Their are advocated for both programs. FFELP is a much more widely-used program (3x the volume as DL). This arguably has a lot to do with the "competition" that the private lender environment creates (i.e. having a lot of lenders vying for your students' business can be a good way to ensure that your students get the best benefits possible).

Quite frankly, though, you as a borrower won't be given a choice as to which program your school uses. They can only select one and the "switching" process is extensive (to say the least). Both programs are good and will offer you the same security as the other.