DIVX to VCD cropped upper and lower edges...help!!!

[YankeeWR]

Hi! When i encode .avi (divx) to .mpg (VCD) with TMpegEnc2.53, the image is cropped about an inch or 2 on the upper egde and also on the lower edge (what i mean is, playing the avi you can see the heads of the ppl in some shot, and when playing the mpg there's missing stuff like heads, feet...you can only see "the center" of what would be the full picture). The movie is watchable tough...but kinda sucks that sometimes you can't see the head of who's talking. Very good quality when played on my home DVD player. The thing is, since i'm a newbie to this, i don't know if i'm worrying about nothing..and this upper & lower edge cropping needs to be done in order to keep the quality good and the file small.
Information:
-Divx file: American Pie 2; 698MB; 576x304; 23.976fps; CBR 1150kbps, Layer-2 44100Hz 192kbps; play time 1:37hs
-TMPGEnc settings: Loaded VideoCD NTSC film template (which reduces resolution...could it be that??or nothing to do with it?)
Video-CD NTSC Film (MPEG-1 352x240 23,976fps CBR 1150kbps, Layer-2 44100Hz 224kbps)...i also divided the .avi into 2 .mpgs (start frame, end frame, etc), then burned them to CD-

[setarip]

Under TMPGEnc, after you've loaded the NTSC-VCD template:

1) Press the "Load" radio button and select "Unlock.mcf"

2) Under the "Video" tab, set the resolution to 352x240

3) Under the "Advanced" tab, set "Video arrange method" to "Center (custom size) and 352x240 as well

4) Click on "OK"

5) Click on "Run"

Let us know of your success ;>}

[YankeeWR]

Thanks

Perfect. That did it Setarip. Thanks a lot.
Stick around man, i think i will be posting again soon!