There is nothing wrong with mini DV. I have both, a Canon HV20 which is mini DV and a Panasonic HC-V700 which is SD card.

The quality of mini DV is excellent but you will need to (very occasionally) clean the heads. I would not trust tape as an archive medium as I have had problems with audio cassette tapes "printing through". You will need a IEEE1394 FireWire port on your computer and a cable to connect to the camera. Most new PCs come without this port and you will need to fit a FireWire card and load the drivers. Do not go down the "FireWire to USB" route - it does not work!!!
Usuallu on mini DV camcorders, video is captured on tape and still photos on a mini SD card. With SD card camcorders both video and stills are captured on the SD card as different file types.

SD cards are a doddle. The files are created directly on the card (along with a number of housekeeping files) and I extract both the video and the still files using the software supplied with my camera.