Good day. Welcome to the forum. What are using as a digital converter device? I have a Behringer U-202 device that works really well with Golden Records. Also you might want to connect everything up and turn it on BEFORE booting your computer. Once the computer is booted, go the Control Panel, Hardware and Sound, select Input, and ensure that your device is set to be the default input device. If you have other input devices, go into Properties, Levels, and ensure that they are muted.
It doesn't sound like a Windows 7 problem at this point. First thing is to make sure that your device is compatible and properly selected. Hope this helps. Have a great day.
Regards,
-Phil