Un-Playable AVI when captured with virtual dub

[loseyourself]

i have a problem when i capture with virtual dub. virtual dub captures without any problems what so ever and i am running windows xp pro with the HDD formatted with NTFS so i can make files bigger than 4gb. once it has captured and i go to play the file it says it can not be played. and when i go to open it in virtual dub it says it is reconstructing missing index blocks. that process takes a while and then i have to save a copy of the file and that takes up way way to much space, is there a way to fix the uncompressed AVI file with anopther program that wont save to a seperate file?

[loseyourself]

could some one also give me some good AVI templates for MPEG-4 and give some reasons for their choice of settings.....i am looking for settings so i can archive my video at 320x240 and a setting for video to be transfered over a p2p or to my friends.....what are some good codecs to use that dont have compatability problems and that are easy to accuire.