“Is there a way round this in movie maker??”- the short answer is no.
The longer answer - once you have finished the project you need to save the finished movie, and the choice of format is somewhat limited in MM (from recollection (I am work now and MM is on the machine at home!) you have a choice of .wmv of .avi. You do have a choice of saving to CD, but this will be in HighMat format and as I understand it not all domestic DVD players are capable of playing this format.
You could save the movie to your PC in .avi format (but be warned these files can be huge!) and then use your burning s/ware to put the film on disc, which should put it into a format recognisable on your DVD player.
I haven’t used Pinnacle so don’t know why you had problems, but video work is resource intensive and you may have had problems if your machine is “borderline” for video editing. I don’t use MM for video capture, so I don’t know why you couldn’t load the captured footage into Pinnacle, but it may be something to do with the file format of the captured footage. If I get time tonight, I’ll have a play around with capturing using MM and see how I get on!
If you are keen to get into all of this some useful sites are click here click here and click here . I particularly found the mightycoach site useful when I first started playing around with MM.
HTH and good luck!