Capture Card fullscreen quality, recording formats

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I have looked at several capture cards. I don't want or need to really watch TV on it...we have two televisions already. I need something that is capable of running a feed from the PS2 in fullscreen and recording at the highest possible quality...for lowest possible price LOL. I know I'm gonna need at least an s-video cable to assist me here, done this before...

So that's question 1. Which cards do you guys know of that play well in fullscreen? If none, are there cheapies ( <$100 ) that come reasonably close? I am perfectly fine at a smaller resolution but I am doing this for online league play so I have to satisfy the fullscreen masses. :p

Question 2: It is software, not hardware, that controls the video formats you can record to, right? I will just use a third party software program if the card I choose doesn't list WMV as one of the available formats...if that's the case, at least. I can't see hardware limiting the formats but I'm not sure. If it is indeed a software limitation, anyone know of some good third party programs that can record to wmv?

Thank you very much in advance :)
 
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