Xbox 360 subtitles and windows 7

Hi I am new here and I need help on getting subtitles to work on xbox while watching movies from USB.
I have the harry potter series copiled and I have put on my USB. Its simpler to watch this way, no having to swap dvds, take out games, or need to take care of the DVD. The DVD and my file on the USB include, Swedish audio track, English audio track and English subtitles. I can get it to play on the xbox however, it automatically chooses the English dubs and won’t let me switch.

Hey, thanks for all this info first =).
Like a year ago I followed your guide and worked like a charm. But some days ago I purchased a new computer and now I’m not able to make the subtitles work in my xbox.
Also I don’t have an option to remove codecs when I install the tversity.
Thank you!

We are not providing support for subtitles files in end-user versions of TVersity.
To support subtitle files you should config ffdshow for this.
In the ffdshow Video decoder configuration go to subtitles and enable subtitle and subtitles files check boxes under subtitles.

Disclaimer: in certain regions of the world, some codecs may require paying royalties to the relevant patent holders.