I'm not exactly sure what part of the situation you're having trouble with burd, but I have some suggestions. The problem with using a video capture device and playing off the PC monitor itself is the problem with latency. The more stuff the signal goes through to get to the monitor, the more the video lags behind. This isn't a problem if you're splitting the signal to the PC and playing primarily through a television. That's what I do. If you do it that way, you don't even have to worry about what's happening on the monitor. Get a capture device with the appropriate inputs and outputs and off you go. Only problem with this method is that my TV is in another room from my PC. That's why I don't stream very much. XD

I used to have an ATI card that had video in as well, and that was all well and good, everything was awesome! Except it was an oooold card, and obviouslty outdated now. I dont actually have a TV though here, not in my apartment, and so Im trying to get it so I can hook my consoles up to the computer/monitor instead. I might have to get an actual card for this, I suppose, though Im looking into the other options as well, such as the capture devices. I just want to make sure Im getting what I need before I go spending $200 on something

Yeah, I'd definitely make sure you hold back on buying something until you know what its specs are, especially where latency is concerned. I've owned several video capture devices, both capture cards and USB deals and so far I haven't had one that has a negligible delay in the video on the screen. Makes it frustrating to play even platformers, like Super Mario Bros. and such.