It depends which software you're using, some have features for using different graphs for decoding and stream writing.
The short answer:
If you can create or find a graph for your DVB program that saves the raw stream (PVA) to disk, bypassing any encoding/decoding filters then yes. Your 700MHz machine doesn't have a chance of decoding the PVA to an MPEG-2 file on the fly.
The long answer:
Skip this part if you know anything about graphs and encoding video.
In video and audio encoding/decoding a graph is basically a flow chart of where you want the output of whatever you're trying to achieve (Whether it be the card stream, a video file or audio stream) will end up as, I attached a graph showing how the stream is manipulated and to demonstrate my MSPaint skills..
With my hardware card and ProgDVB I have the option of disabling the decoder in h/w and s/w mode in record to free up CPU cycles.
As far as I'm aware the stream in software mode isn't a true multiplexed MPEG-2 stream so it'll probably save the file as PVA which contains the MPEG-2 stream as well as error correction and timing information which you'll need to strip before burning to DVD or playing from your HDD.
Basically, if you can find or create a plugin or a graph to let you record just the PVA from the card without displaying it onscreen or en/decoding it in any way you should be good to go,
Your system is probably quick enough for writing the bare PVA to disk, however it'll definitely fall over once you try to decode or play the file which is what I imagine will happen once you hit record unless you can save to PVA.
It'll certainly take a looong time to encode the file into something useable like an MPEG-2 on a 700MHz machine.
The best thing to do is to suck it and see, get Graphedit from:
http://msdn.microsoft.com/library/default.asp?url=/downloads/list/directx.asp
Or Google for the bare file because it's buried in a DX9 SDK
Try it out for yourself, it's easy to use once you get the hang of it and you should be able to import your homemade graphs into ProgDVB or any other program that supports graphs.