I have felt the same way, (Not wanting to release poor quality stuff.) but in the end, that does help.
Even if it isn't perfect, folks can tell when effort and time have been put into something.

Software does help a lot, but knowing how to use something in uncommon also works wonders. You say 'Interesting' but is that referring to light-flicker, or something else? And is that problem fixable by known methods? You can use WMM to put together decent animations, but have you looked at Lightworks? It's tough to use, tough to learn, and just plain weird, but it is free and once you learn its quirks, will be much better that WMM.

Audacity is fantastic, and you've got Photoshop, so once you get a good editor you're good to go.

I've always wanted to make a tutorial/video showcasing how to make a great film on a tiny budget, but for now, take stock of all the things you do own. You may be surprised what it can do. (For example, destroy any models that you possible can, only build one set at a time, and go for details, not size.)

You've obviously got a webcam, so you just need a desk and some blue paper to get going.
The way I've always though of it is like this: "What ever you can do, do it, and rule at it.' Which basically means, if you have severe limitations, then show people just how amazing a handful of bricks, some paper, and a bunch of free programs can look. Create a visual style that embraces those things, and makes them into a special form of the art.

For example, Namchild  is known for his brickflims that take place in real environments, as well as his in-shot effects. And even though they sometimes contain jerky camera movements, and the older ones have choppy animation, his style is very distinct and original.

Also, you may very well be harder on your work then others will be, and we're really not that mean to beginners. 
I really recommend sharing your work, but here's another idea. Share your work in the WIPs forum, then, when your think it's good enough, make something bigger and put it in "releases."

You don't actually need animation software.  I've never used it, and yet people seem like my animation.
Instead of relying on cheats software, you could develop raw talent, which isn't too hard.

Test montages are one of the best ways to increase your animation skill.
Just grind animation XP until you're at a high enough level to animate something you like.

i dont know how squid does it but i do know if you have a camera with video capabilities you can make shore its paused  then move the figure like normal then press play and pause really fast and if you play back the video its an animation i used to do that for my very first animations

"Right. He deserves for it to not display right" — Sméagol
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That will never look good. Ever. You can't get a high enough frame rate. I did it when I was young, and it doesn't pay; save yourself kids.

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There is free animation software (MonkeyJam is a good one). Its not cheating to look back at what you've just animated to check it doesn't look like arse. In fact, you would be mad not to. Its like not reading your novel after writing it, or not listening back to a song you've recorded. Why shoot yourself in the foot when you intend to run a race?