I recently got an ADS Tech DVD Xpress (USBAV-701) as a gift. It works fine for tapes in my collection that are in great condition and have a relatively stable picture. However, not all of my tapes are in good condition, some are multi-generation tapes that I've received in trades. One such tape is in poor condition and has a very mucky picture. I'm sure there's a lot of garbage in the video signal that I don't see on my TV when I watch the tape. I attempted to capture from this tape earlier today, and the result was an ugly-looking MPG file (it looked ugly on my computer monitor, and looked ugly on my TV after burning the MPG to DVD). In many frames, where an image should have looked like this:

this is an image
this is an image
this is an image
this is an image

The image actually looked like this:

this is an image
######this is an image
this is an image
######this is an image

Just picture the ###'s as blank spaces.

This produces very bad flicker/ghosting, and I have yet to get satisfactory results from this tape as the quality of the MPG is always worse than the tape itself because of the flicker/ghosting. The flicker isn't present on the tape, but it looks like this is how my hardware chooses to represent the garbage in the video signal. Garbage in, garbage out, right? Is there anything I can do to reduce or eliminate this flickering?
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Edit/Additional: Here are screencaps from a tape that is in very poor condition and is an excellent example of the effect I'm trying to describe:



I've searched the forum, and most common suggestions I read were: TBC, get a better VCR (mine is only consumer grade, less than $100), find a Panasonic ES10 on ebay and pass the video through it. All of which mean extra expense, so specifically, I'd like to know if any of these might solve the problem for these poor quality tapes, or if there is something else I should know.