Works great and simple to use.
http://en.wikipedia.org/wiki/CamStudio
http://sourceforge.net/projects/camstudio/
in Linux I use "Record My Desktop" if you want to try that sometime.
I have a Sony Handycam DCR-HC30 (an older model). The video quality still holds up pretty well though. I am having problems though capturing videos onto Windows 8 though. I thought it was my camera that was not properly working, but after researching I found that a lot of people are having issues with Sony Handycams being recognized by Windows Vista or later Windows software. I have the Pinnacle MovieBox 710-USB to capture, and Pinnacle Studios as the software to capture/edit. The program will recognize the videos from the camera through AV cables, but the transfer isn't too great and frames get dropped. After a lot of trial and error, purchasing the Pinnacle device, and getting the cables needed, I am still unable to get my Windows 8 computer to recognize video through any IEEE 1394 Firewire cable. My lap top doesn't have any slots to add a capture card either, and doesn't have a 6 pin or 4 pin IEEE firewire slot (which is why I had to get the Pinnacle MovieBox).
So after all of my rambling, has anybody else had this problem that found a solution lol? Or does anyone have any other suggestions?
Thanks

Chowhound
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GameFAQs
GameSpot
Giant Bomb
TechRepublic