You can't capture the video with a USB cable. The USB cable and software that came with the camcorder are only used to transfer still images.
To transfer video you'll need a DV cable (also known as a Firewire cable) and some additional software. I use Scenalyzer Live. It's not free, but you can download a demo copy to see if you like it before you buy it. Here's a link to the Scenalyzer website:
http://scenalyzer.com/
If you have the JVC manual you should read page 41. If you don't have the manual you can download it here:
http://www.devicemanuals.com/guide/Digital%20Camcorder/JVC/JVC-Compact-VHS-w-LCD-Screen-Camcorder-GR-D370AS-User's-TWpJME56VT.html
The download link is about half way down the left side. It's a little difficult to find, but it's there.
Lastly, all this assumes that your computer has a Firewirre port. Most new computers will have one, but if you do not you'll need to buy and install a Firewire PCI card. Let us know if you need more help.
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