[gabi03]

I use a canon SD870 with an 8gb memory card so i can record for much longer periods.
I use the auto settings, it adjusts depending on where i am in my house.
I use natural light during the day, i make sure i'm in a naturally lit room without any other lights on. Or i'll use artificial lights if its nighttime, i make sure nothing points right at my face.
I bounce between imovie 08 and hdmovie (ilife 06). I like imovie 08 because it posts right to youtube for you and converts everything to the correct size and format. My only gripe is that is a dumbed down version of hdmovie which has tons more features (like fast forward).
I also use windows movie maker, its ok, and it takes all formats.