CD-R gives you about 650-700MB of storage per disk.
DVD-R or the other accolades, give you roughly 4GB of storage.
Norton Ghost gives you just the format to make Back-Ups, probably overkill for what you need.
M$ has a 'help' page for this.
http://www.helpwithwindows.com/WindowsXP/howto-01.html
I use the old trusty CD burner and copy the stuff that I must have, and transfer it that way. If you don't have a CD burner, then you might be limited to using the thumb drive at one clip at a time.
Also, check and see if there might be a 'power user' group in your area. They just might loan or rent you external hardware to do this one time task. I would not buy a high dollar item just to make this transfer.
Lastly or first possibly if you don't have high cap transfer capability, building a simple home-network would be way cheaper and easier than doing anything else hardware/monetary wise.