Just bought Dark Souls for the PC and want to install some of the mods to make the game better but wanted to ask if there'll any issues with my xbox live account. Basically I don't want to get my account because the game thinks I'm cheating in some way by installing these mods. Any issues I should be aware with before installing anything and any good mods people would recommend.

What mods are there now? You mean stuff like DSfix to enhance the graphics? I think you're safe using these enhancement mods. At least I had no problems and I haven't heard of people getting banned at all - not even actual cheaters, unfortunately.