Backups and Transaction Log file size



I am slowly going insane trying to figure out backups.

From all that I read and understand, the purpose of the transaction log is
to save actions until committed to the actual db, and, a backup of both db
and log should committ things and the log would get smaller (or at least have
more empty space).

Instead, I have a log that is growing bigger and bigger, and, is much larger
(1.3 Gb vs. 370 MB) than the DB.

I am using SQL 2K5 Ent SP2 with latest patches and hotfix rollup. The
database Recovery Model is Full. Each morning I run a maintenance plan that
includes backup of the db file, then the transaction log file (I later added
a second backup of the db file right after the transaction log file backup,
as I was unsure of the correct sequence). Each day, both files steadily get
bigger, with backups doing nothing to decrease the size (or available
freespace of the log file).

What do I not understand, or, am doing wrong?

I wouldn't care about the size (not out of room or anything), but, the speed
of the application using the database files gets REAL slow, the bigger the
log gets.

Thanks.
.



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