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I have one of those right here attached to my computer so I can watch TV on the PC. The red-green light is the power indicator. Your converter is turning off for some reason. Possibly it is getting a signal from another remote, and turning off. You can block the converter's remote sensor with something (black tape works) and then change the channels with front panel buttons if it has them.
Mine has power buttons for both the TV and the converter, so watch out for that.
Unless you are lucky enough to be close to one of the remaining low-power analog stations, you will need additional hardware to watch over-the-air programming with the AV-20220. You will need a digital to analog converter box. Connect the antenna to the converter box and then connect either the antenna output or the composite output to the appropriate input on the TV. If you use the RF input, set the TV to channel 3 or 4 and set the converter box to the same one.
Then to set the TV up to scan for any NTSC (analog) stations, you need to access the menu. There is a menu button on the remote. (I'm not sure about the AV-20220. Some of the later models (AV-27350) have a menu button on the TV as well.) Press Menu several times until you see Initial Setup (Setup). Use the up and down arrows (Volume) to navigate to Auto-Tuner Setup. Then use left and right arrows to choose Air. Use the up/down arrows to navigate to Start. Then press either the left or right button to start the scan for channels. Wait for the scan to end.
If you have cable running to your house, cable still uses RF and older TVs work fine. The problem comes when you try to grab stations from the air. The signal is still UHF, but the information riding on that UHF signal is digital, and will need a converter box to turn it back to analog so your older TV will understand it.
Cable: None needed.
Antenna: Need a box.
if you are going to continue using the rooftop antenna, then you will nee to purchase a digital converter box. Those television sets are only analog. You do have an option to get Directv or Dish network and you will not need a converter box at all. Directv and Dish network are 100% Digital and the receivers work as converter boxes for that product only.
You probably have to find your original remote to the set and go through setup in your menu. On most sets, there will be a menu item which will allow you to switch from Cable mode to Air mode. If you have no Cable connected, then you must set tuner in Air mode.
If you are using an external device to run on channel three, then try this:
Make sure device (rather it's a vcr or game console), is hooked up to your Antenna Input connector. Also, some of these devices will have a small hidden switch on back that says 3 and 4. Move the switch to 3 position. Turn on device. Go into TV menu and do a Channel scan. This should auto program any device hooked up to the TV antenna input jack to channel three.
Keep in mind that you may not receive anything by Feburary of this year without an HD converter box to tune in channels with and outdoor antenna.
It will still work fine if you have cable or satellite. If you are using an antenna to receive broadcast signal you will need to get a digital converter box from an electronics store like Best Buy. You can get discount coupons from the federal government good for 40 dollars towards the converter. Google "Digital Covnverter Coupon Program" and it should give you a link to the site to apply for up to 2 coupons.