WinDVD Creator problem

After a fresh install of WinXP home following a HD failure and replacement, I can't get win DVD creator to work. (it used to) When capturing from a camcorder it freezes after a short time, and has to be shut down from task manager. It works fine on my system, which is similar. Have had problems with this system from the beginning when I built it for the wife last year, generally with video programs. Originally, it had an Asus board with ATI chipset, and was trying to use the onboard video, and had tons of problems. Asus agreed it should be RMAed. I replaced the MB with a MSI Intel chipset board, added a MSI ATI 9200 VC, and Adaptec firewire card. That worked better, but not perfectly. That Asus MB is working in my sysstem, and running the programs that wouldn't run on her system. I have a P4 2.4 @2.7, and hers is a 2.8 Prescott.Windows Movie maker doesn't work properly either. Sysrem specs are as follows:
P4 2.8 Prescott. MSI 865PE MB, 2 x 512 DDR 400, 1 120 gig WD SATA, 1 80 gig EIDE WD JB, 1 160 gig EIDE WD JB, MSI ATI 9200 SE VC, Sony DVD Burner 8X, Asus CD rom, 350 watt PSU, Win XP home service pack 1, with all other updates. Windows was installed on the HD 2 weeks ago, after the 120 gig failed and was replaced. I have tried numerous installs/ unistalls, but the problem still is there. I had SP 2 on it and removed it as per MS insructions, and reindtalled any programs that might be affected. I'm at a loss as to what to try next. Any thoughts or ieas would be most welcome. Thanks.