Is there anyway to capture VHS direct to MP4 or AVI? I have tried various settings and I found only way to capture to MPEG-2 (.mpg) or to .mxv ? MPEG-2 is antique file format.
Please do not 'hijack' another users topic about which your question has nothing to do with the OPs issue.
For future posts and if you want to continue discussing this issue please create a new topic.
To answer your question - the recording formats you have found are the ones that are supported by the program. Once captured you can export the capture to MP4 (h.264) or one of the supported export formats.
More information on this can be found in the manual available under Help in the program.