want to re-install xp on laptop

i have a dell inspiron model 2650. it takes a ridiculously long time to load, then tends to freeze whenever it wants. it's an old laptop, but i would like to get it in working condition again. it used to run fine and with an upgrade in RAM, would be acceptable as an extra pc. i want to re-install windows xp and start from scratch. ( i don't believe in registry repair software which i had suggested to me). also system restore was no help. i went into set-up to change the start-up and have the cd-rom go 1st, but when i put the original OS disk (i've tried the re_install disk that came with it, and the driver disk) in the drive, it either spins and does nothing, or it reads the disk, then just freezes, or crashes. i thought about using an external cd-rom(dvd) drive, but the laptop doesn't recognize the USB drives now either. any ideas on how to re-install things on it?

thanks

Pentium 4 1.7/1.2 GHz
128 RAM (512 MB RAM max. will upgrade RAM if rest works)
Windows XP home edition service pk2
BIOS version A05
Toshiba DVD_ROM SD_c2612_(S

Find boot disc of any kind. (make sure it is bootable) and restart the computer hit any key when you get the message "press any key to boot from Cd" Now take it out put the Windows Restore CD or XP CD in then restart and follow the previous instructions. Once the Cd drive recognizes one Bootable CD it should recognize the XP bootable Cd.

What? That's weird... could the cd-rom drive be near death? Why would it crash trying to boot off an OS CD? Is the CD clean and good, not damaged?

what OS came with this laptop ? Win 98 ? 128 is too low for XP .. you will need to bump up the ram first..

the OS CD is brand new. never had to use it since this was bought. (new). it's run now for ~6 years. i can't seem to get over this hump. i'm thinking it's time to recycle this and just get a new one. there are a lot of great deals out there. i was just hopin to re-install this and upgrade cheaply , esp since RAM is inexpensive. thanks for all your help