How would I use NUnit and a test database to verify my code? I would
in theory use mocks (moq) but my code is more in maintenance shape and
fix it mode and I don't have the to setup all the mocks.
Using mocks is only useful if you want to test the exact implementation behavior of a class. That means you are literally asserting that one class calls a specific method on another class. For example: I want to assert that Ninja.Attack() calls Sword.Unsheath().
Do I just create a test project, then write tests that actually
connect to my test database and execute the code as I wwould in the
app? Then I check the code with asserts and make sure what I'm
requesting is what I'm getting back correctly?
This is just a plain old unit test. If there are no obstacles to achieving this, that's a good indicator that this is going to be your most effective method of testing. It's practical and highly effective.
There's one other testing tool you didn't mention, which is called a stub. I highly recommend you read this classic article for more info:
http://martinfowler.com/articles/mocksArentStubs.html