i'd advise you to post your computer specs (you can find these by clicking on start, run and then typing dxdiag and hitting enter, it'll tell you how fast your computer is and how much ram it has). It's easier then to figure out what needs to be done.

you really REALLY need an external sonud card for recording, internal soudn cards are very noisy because even though they're usually grounded, you get loads of static from the motherboard, fans and case in general, external sound cards don't have that problem because they are independant from any other electronic interference (as long as you keep them sort of isolated). M-audio are awesome but pretty high end. Line 6 have a device called the TonePort which is supposed to be good and sets you back about $130 US and is USB powered (http://www.music123.com/Line-6-Tone-Port-UX1-i250717.music) - comes with modelling software too so that's always a bonus, saves you from having to use your pod or other amp modeller/amp.

There are a few pretty easy to use softwares out there that have enough power to produce decent tracks (they're like cut down versions of protools). Garageband on Mac is probably one of the most easiest and ingenuitive softwares out there but there are PC softwares that are quite similar and free or cost small ammounts.

Warning though, editing tracks is addictive and VERY time consuming even if you're pretty damn fast, expect to be consumed if you're one of them perfectionist overdoing types that overpoduces things.