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#11
AVG is crappy bloatware which no one here recommends. Boot WDO as suggested by Karl to run a full scan now. Then install Microsoft Security Essentials to run a full scan.
Post up the infection name in our Security forum for expert targeted scans to run.
Test your System Files for damage using SFC -SCANNOW Command.
Establish a clean boot now to kill all startups except MSE: Troubleshooting Steps for Windows 7
If you decide to clean install wipe the HD first using Diskpart Clean Command then Clean Reinstall - Factory OEM Windows 7 - everything you need is in the blue link to get a perfect reinstall. You must reinstall all programs.