Four months ago I was staring at Linux and Mint with open eyes and thought what the...
But Mint turned out to be really easy to handle, as was using a terminal. But there is a step to get over - yes...
Look around a bit and learn about Linux while you are sorting this out
This one is not to hard on you (but a little bit outdated - but it does not matter much)
You have to relearn a few things, among them what a harddisk, or a partition is in Linux. It's just another folder. On my main computer /Home is on a separate partition - but you don't see that - when you open /Home it's just like opening any other folder. (Home is where you have your stuff - unlike Windows you only have your stuff in Home - period)
So what I suggested was that you installed with one of the disks as /root - the main disk and that you put /home, and /usr on some partition on another disk
(Don't despair, when you move through the steps of your installation you choose to make partitioning yourself and hopefully what follows is clear enough for you to understand)
A live CD is a bootable CD that presents you with "a glimpse" of what you will get. Most live CDs have an option to install (ours has)
Finally a computer with so small disks most likely has very little memory - you should have at least around 300 MB RAM. It is possible with less, but with 256 MB you may have to do some tricks to bypass that. You can run an installed Mint on 256 MB, but the live CD needs more memory
I know this is a bit much but the restrains your hardware gives....