FireWire transfer!

FireWire transfer original footage (binary data read from DV tape) to .avi files on your PC. It's NO LOSS transfer although DV recording uses loss video compression but that's a different matter.
Video in (composite, s-video) and audio in transfer analog data which will be converted back to digital on your PC. BIG LOSS = LESS quality.

XP Movie Maker can do the capture so do most bundled software in 1394 adapters.

Get 1394/FireWire.

Be prepared, 1 hour DV takes about 12GB hard disk space. No kidding.