It is well established that the presence of external feedback, also termed augmented feedback, can be used to improve performance of a motor task. The present study aimed to elucidate whether differential interpretation of the external feedback signal influences the time to task failure of a sustained submaximal contraction and modulates motor cortical activity. In Experiment 1, subjects had to maintain a submaximal contraction (30% of maximum force) performed with their thumb and index finger. Half of the tested subjects were always provided with feedback about joint position (pF-group), whereas the other half of the subjects were always provided with feedback about force (fF-group). Subjects in the pF-group were led to belief in half of their trials that they would receive feedback about the applied force, and subjects in the fF-group to receive feedback about the position. In both groups (fF and pF), the time to task failure was increased when subjects thought to receive feedback about the force. In Experiment 2, subthreshold transcranial magnetic stimulation was applied over the right motor cortex and revealed an increased motor cortical activity when subjects thought to receive feedback about the joint position. The results showed that the interpretation of feedback influences motor behavior and alters motor cortical activity. The current results support previous studies suggesting a distinct neural control of force and position.