I get information coming through using the SoftwareSerial library, but its garbage,
One assumes that the data is not garbage, just the output of your code
Speaking of which, can you show us the code?
Do you know the bit rate, # data and stop bits, does it use parity etc?
so I soldered a pin from the RX on the touch controller to pin 2 on my Arduino
Well unsolder it right now, if it's RS232 it is +-12v and will/may blow up your Arduino.
Also if it's RS232 you need to invert the data, I think Software serial has that feature.