In my videos I use a digital camera for the video. My first vid used the camera's audio, too, and that didn't sound good...
So on my latest couple videos, I decided to videotape myself with the camera, and at the same time, record my playing (direct) into a DAW (like Cubase, CoolEdit, Ableton...).
Basically I've got 2 tracks in Cubase: A DI'd bass track that's recording, and the song in question in a separate track with the bass frequencies cut off (usually a shelf around 350 Hz). I push record on the camera, then record on the program. I can hear the song as I'm recording.
When I'm done, I mix the tracks to make sure the volumes/EQ are good, then export the sound and bring it into a video program (like Windows Movie Maker - but there are better ones).
I sync the sound from the recording with the sound/video from the digital camera (I blend the sound 20% camera and 80% recording - gives it more of an ambient feel) and add a fade-in/fade-out.
