i am new to this affliate stuff. do you need a website b/c i know you have to create traffic to make money. but can you use other poeple's sites if they allow you to post banner and ads?
No you don't need to have a website-your affiliate link goes to that particular product you're promoting website.
However, by sending traffic directly to your affiliate link, you are not building YOUR list. The best thing to do is build a lead capture page or a pre-sell page and have your traffic opt in to your marketing system first, and then direct them to the affiliate link.
Ewen Chia has a new marketing training system out, it's like 40 bucks a month. If you're serious about affiliate marketing, you should learn to do it the Best way, so you don't leave money on the table...so to speak. His system is something..affiliate..do a search on Google, i'm sure you'll find it.
As far as the rest of your questions....
There's no point in submitting an affiliate url to the search engines.
You want to take your affiliate url and find places to advertise.
I have a feeling you're going to lose a lot of money before you make any; learn Internet marketing before you advertise or do anything.
There's no use in wasting your money and time.
Check out Ewen Chia's affiliate products (his products are very reasonably priced); start with the cheapie and then go to the membership one if you think you can grasp it.
For basic Internet marketing stuff, visit: http://www.NewbieMarketingTips.com
Good luck on this.