I capture using a Canopus ADVC-1394 card. There is no problem capturing from the DV camcorder through the DV-in port. I had been able to successfully capture VHS through the S-Video port (the deck outputs S-Video), although there was an emerging problem of a narrow strip on the left side of the frame extending 90% of the way to the bottom edge with random b&w flashes and some noise along the bottom of the frame.
Now, everytime I capture using the NTSC DV template the VHS captures come out as PAL format: 720x563, upper frame first. And, of course, I get large pixelated images. The capture preview looks fine before and during capture. There is no trouble with DV capture from the DV camcorder.
Thanks.
David