Setting the recording options
Right click the Skype Call Recorder icon on your system tray, and select Open Preferences. There are four tabs -- you can ignore the one labeled Misc. However, take a close look at the other three.
The first tab is Automatic Recording which, obviously, enables you to start recording a Skype call when the conversation starts. You can choose to automatically record, be prompted to record, or manually start recording. There's also an additional option: set the preferences for individual Skype contacts. You get the same options as above, with the ability to tailor those options for people that you call regularly.
Next up, the File names tab. Use this tab to tell the program where to save the recordings (the default is a folder called Skype Calls in your /home directory) and the file name under which to save the recording. You can choose four options from the drop-down list. These contain the date, time, and name of the contact with whom you were chatting. A lot of the information is inserted using variables -- like Calls with &s/Call with &s, %a %b %d %Y, %H:%M:%S. Unless you're comfortable fiddling with those variables, stick with the defaults.
Finally, the most important tab: File Format. Obviously, this is where you tell Skype Call Recorder how to save the recordings. You can save files as Ogg Vorbis, MP3, or WAV. You can also choose the quality of MP3 and Ogg recordings, and decide whether you want to record in stereo or in mono.