Your Edit 4 caught my attention. The fact that the counter stops right when the picture gets noisy might actually be a pretty useful clue.
From what I found, VCRs use a separate control track on the tape to help keep everything synchronized. If the deck loses that signal, it could explain both the counter stopping and the picture going haywire.
I'd be curious what happens if you play the same tape in another VCR. If the problem follows the tape, that tells you something. If it only happens in your LG, I'd start looking at the pinch roller or tape path.
Not saying that's definitely the issue, but it seems worth checking before replacing anything.
I did some AI-assisted research on this, so take it as a troubleshooting lead rather than a diagnosis.