First of all, welcome back

It seems even we let go sh3, silent hunter 3 will never let us go
Here, the answer for your questions:
1. Realism Settings: is there any set realism you need to use or any realism settings that are must haves? i run with everything on except map contacts, WO assistance (Use MFM and USAM so use him to identify targets), and external view
>> You may play with any realism setting you prefer. We like player to add dimension to the game they play by being narrative. It’s fun.
2. What is the Max TC you can use while doing a DEF patrol
>> TC Recommended is 128. At the end of each patrol, you will receive some tonnage points (like in game renown) which will be displayed of the flotillas Aces. Exceeding TC 128 may result in some penalty point. There are several modifier to the in game tonnage point you receive. Some are + and some are - .
3. I see it uses gwx + sh3commander. Are there any mods that you are not allowed to use? (besides some obvious ones like 1939 XXI etc).
>>Any mod that doesn’t turn your u-boot in a super machine is allowed.
I am one of the staff on DEF. You may always PM me about your questions as well. You can check sub-forum threads which will give you an opinion on us. The other staffs are GalaKev, Walter Kurtz and Laufen zum Ziel.