Thanks, I was looking for a less expensive solution as I am a student, and, well, you understand the rest!
Oh, and I referred to my external HD for the footage, but when I mentioned internal HD later I meant for additional software, as I know some software takes up a lot of space, etc. Having said that, I do need to clear a lot of space on my internal HD anyway as it makes it ridiculously slow.
I am guessing the solution is to spend money, else the results will be mediocre?