Playstation Plus does not have anything to do with hacking on the PS3 and is a Playstation Network premium service
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You need a credit card to add money to your Playstation wallet and to join Playstation plus. You can also add money to the wallet with a Playstation network card you purchase at a retail store
PS3 does not require a renewal except Playstation Plus Membership which must be purchased
Sorta, You Need a Playstation Eye, Because its Playstation Move. You need a Playstation Move Controller and Playstation Eye. Thats It.
No it is not free to download PS2 games unto a PS3. Most PS3 can not even play PS2 games but even the old 4 USB Port PS3s that can play the PS2 games can not download them for free. Even the old PS1 games that the PS3 can play are sold at the Playstation Store. Sometimes Playstation Plus customers are offered free games that expire with there Playstation Plus membership
Updates and patches are downloaded from the PlayStation network. The PS3 system will automatically update when a new version comes out. Game patches will download when you launch the game, if you have PlayStation Plus your PS3 can be set to automaticly check for patches for games you own and download them in the background.