Pinnacle Systems provides studio quality software and hardware. They offer external devices to accomplish the tasks that you are trying to do.
However there are shareware apps that will do it but usually finding an all in one app that is shareware is a pain.
Google DVD Digest for a link to a site that talks about this in depth and has links for shareware programs.
I use Pinnacle Systems. I have an older version of Studio, I think it's 8.33 or something, but Studio 9 is out, I've been contemplating getting it because it has support for Dolby Digital 5.1 audio tracks.
If you are not going to go with Pinnacle I would suggest staying away from PCI cards that have TV tuners and anything that is a WinDevice. I struggled throught the market and eventually went with Pinnacle becuase I found out that you get what you pay for in this case. My moral was, spend the money to get the good stuff, because the cheap stuff was too much of a hassle.
I've done a number of projects,
1. Put StarWars Episode 4 on DVD before Lucas.
2. Made a graduation video from Pictures and sporting event home videos.
3. Numerous family vacation compilations.
4. (Nothing that the copyright people will come knocking on my door about)
There is going to be a learning curve with whatever you decide to go with, and I don't want to send traffic to another site, but this site doesn't really have the experts in this department. I suggest using the google link I refer to above.