Xvid Codec is problematic for Premiere Elements (any version) and is often classed as worse possible video codec for a file to be imported into the program.
Does your Bandicam offer you an alternative video codec for its output? And, you do not want AVCHD.avi or H.264.avi which are not supported by Premiere Elements.
Can you get a H.264.mp4 output from Bandicam?
Please consider the MotionJPEG and PCM as suggested by Bandicam
MotionJPEG.avi can be problematic in some cases for Premiere Elements (any version), some cases not.
But please give it a try. Also, evaluate what else is available in the Video Codec
field of Bandicam's Format Settings dialog.
Thank you so much for your reply!
I have changed my codec to MotionJPEG and i hope it works! I'll give some feedback after recording tomorrow, for now, im relaying on Windows Movie Maker xD
After changing the Codec I get no sound form my microphone or my game...
When you went with MotionJPEG video compression, what did you use for audio, PCM?