Cheapest option I found was the Dazzle DVD recorder
You must login or register to view this content. I picked one up on Ebay for £17.
Connect composite video cable to a video splitter the dazzle, Connect the 2 audio cables to the Dazzle recorder. Connect 2 video cable from the splitter to your TV and Dzzled. Usb the Dazzle into your PC and you are ready to go. Is not Hi Def, but that is an expensive option. Can get decent quality and with good editing software, can make a nice montage or record gameplay.
Total outlay for me to set up
Dazzle £17
Splitter £2.50
Extra cables £5
Total cost £24.50 for results like below.
[ame="
https://www.youtube.com/watch?v=67K1R5o5q2U"]YouTube - rapid montage[/ame]