Squeakmail,
I'm quite new to the digital video scene, having bought a camera a few weeks ago. However, there is plenty of online information on this and related topics.
If you intend to record and edit from a VCR, most of today's graphics adapter cards can handle input. Many have a TV out option to. You might also consider a TV tuner card, if it's recorded TV programs you are editing. This way you could skip your "traditional" VCR altogher.
Pending purchase of an IEEE1394 adapter, I'm using a Pinnacle Systems "Studio PCTV" (PCI card), which is bundled with a remote control and straightforward capture/editing software. This card has (of course) a standard TV aerial socket, as well as S-Video and composite video sockets. Video can be output as MPEG or AVI, depending on your needs.
More info and recommended graphics cards here :
http://www.pinnaclesys.com/frameset....duct&content=6
A good place to start would be reviewfinder.com where you can search for reviews and other criteria.
If it's just a software package you need, there are plenty out there, but I should think that a hardware solution (which comes bundled with proprietary and/or third party software) would make for better final results.
Hope this helps. Best wishes.