Here’s how you fix the issue
I was doing a clean install of Windows 7, when I ran into the same issue, but I figured it out from someone that had the same problem with an upgrade of windows 7, what I’m about to tell you will fix it either way.
Here is what I did to fix the problem!
First go ahead and remove Truesuite software or any other program you are trying to use, in my case the Toshiba finger print utility program, “Truesuite software “. It worked fine with the drivers supplied by Toshiba, but you can’t save your finger prints due to this “template error” issue, so go ahead and remove it. Everything you need is already in the Windows 7 software.
Now, after removing the Truesuite software. Go to the command line, and type in "finger",
Go up to "Biometric Devices", and open it. Once its open, if you don't see your finger print device, you have to update your device driver, so go to back to the control panel, and device manager and right click on the biometric device, and then the device itself, and tell it to update. Let it find the updated drivers via the web.
After which you can go back to the command line type in “finger” again, and select "Biometric Devices" and you should now be able to see the device. On the left side of that screen select "Change biometric settings", In this screen you can turn it off, which is what you want to do, turn it off save it, then turn it back on and save it again. That will delete any finger prints on file. Now, select “Allow users to log on to Windows using fingerprints”.
After saving that change, it will take you back one screen, where you can see your device again, over to the right of the screen, beside your listed device, it will say "Manage your finger prints data”. Select it, you will be promoted to answer two questions select “Yes” on both of them, then select your fingers to be scanned, close the program.
Restart your computer. On the restart, select the finger print, then swipe your finger, it will recognize you, but will still require you to enter your password the first time you log in after that you don't need to.
That's it your done.
You don't need any other software, it's already built in to Windows 7