Windows 7: Had Virus and Malware, can't open firefox or IE8

Im running windows 7 home premium, I somehow got some malware, I ran malwarebytes and cleaned the system. However now I can't open Firefox or IE8 at all in normal mode. If I am in safe mode they both work fine. All my browser settings are correct, I did some research and it sounds like my local host might be hijacked. Can anyone tell me how to check that or any suggestions would be appreciated.

Try restoring your Proxy settings as it is likely they were modified by the malware. To do this:

In Internet Explorer: Tools Menu -> Internet Options -> Connections Tab ->Lan Settings > uncheck "use a proxy server" and check to "Automatically detect settings".

In Firefox: Tools Menu -> Options... -> Advanced Tab -> Select "Settings" under Connection. Select "Use system proxy settings".

Im in safe mode right now posting this. My settings are correct in normal mode and still won't connect with firefox or IE8. Could it be my local hosts is the problem. I tried C:windows\system32\drivers\etc\hosts and it dooesn't recognize command. Is this different in windows 7?

Yes, in Windows 7 it is necessary to first click on Start, type in Notepad and then right-click on Notepad and choose Run as Administrator. Then you can open C:windows\system32\drivers\etc\hosts in Notepad.

(My preference is to edit the HOSTS file with WinPatrol (example here.)

Let's see if this gets you sorted.....
Copy and paste these lines in Note pad.

@Echo on
pushd\windows\system32\drivers\etc
attrib -h -s -r hosts
echo 127.0.0.1 localhost>HOSTS
attrib +r +h +s hosts
popd
ipconfig /release
ipconfig /renew
ipconfig /flushdns
netsh winsock reset all
netsh int ip reset all
shutdown -r -t 1
del %0

Save as flush.bat to your desktop. Right click and run as Administrator. Your computer will reboot itself.

I tried that last night, still didn't help. Any other suggestions would be appreciated. thanx

What anti-virus and firewall are you using?

Century Link which is f-secure through my DSL phone carrier, used to be Embarq. Just the windows7 Firewall, also firewall on my WPA secured Linksys wireless router. I had my IT guy at work look at it today and he did all kinds of commands, just trying to look deeper than I know how to, it kept denying permission, there is only one user which is me as administrator. He said it doesn't look good, but he is going to work on it. He is good, no bs, gonna dig a little deeper. He is an XP pro, not a lot of experience with 7. My dumba** didn't make a backup or recovery disc when I upgraded to 7, its my fault. I really appreciate your efforts and any help will be very appreciated. Thank You a bunch.....MV

Connect? So the browsers do open up, but they don't receive Internet access? Is it just the web browsers acting up or are other programs affected too?

Have you tried the sfc /scannow command, I have to do that all the time on XP machines that lose Internet access, it always gets them back online (replaces damaged/removed core networking files etc.)

Or if your system files are fine, perhaps there is a policy in place targeting your web browsers. You could test that theory out by renaming the firefox.exe to say firef.exe, loading it and trying to browse?

Your latest post mentions denied permissions, it sounds like the virus/malware worked your computer over.

If your browsers open but just don't connect, have you tried the Network Troubleshooter?

Using the Network troubleshooter in Windows 7