Warning popped up from 'Win 7 Home Security'

So I was surfing the internet, and all of a sudden a warning popped up from 'Win 7 Home Security' I knew at once what this was, as I have had something similar before. I know it is a malicious program which asks for your credit card details, and I haven't entered any. I was unable to access the internet, as it blocked me from my homepage, saying it was dangerous. I was only able to access my msn, where my friend sent me some information on how to delete this program. This program hid itself in my computer, and I managed to locate it by finding the date and time closest to when I saw the first popup - 17:30, 29/03/2011 - I also had to choose show hidden files etc. I began to try to delete it. I tried deleting it from task manager, but it just opened itself up again. I tried deleting the file. I opened my computer in safe mode, but this program was still bombarding me with false warnings. I finally managed somehow to delete this file, from another folder inside my C drive. I then restarted my computer and I knew something strange had happened. Whenever I clicked on anything, for example, Internet Explorer, a pop up would ask me what I would like to open this application in, I chose IE, and was them prompted to Run or Save this, and then run again, after which IE would open for a brief second and then close itself down again. This happened with everything, Windows Live Messenger, Word and Skype. I am wondering if there is and easy way of repairing this? Have I deleted something vital? Is this still the virus affecting my computer? Would I need to reinstall Windows 7? I've tried to do a system restore, but whenever I click system restore inside system tools, I just get asked what I want to run this program with? I really have no clue about what I have done to my computer. :I

Thankyou x

Hello Piggy and welcome to Seven Forums. Sorry it has to be under these circumstances.

If you can (you may have to use Safe Mode with Networking or install to a separate thumb drive) download the free version of Malwarebytes, update the data signatures and run the full scan.

Malwarebytes

Some additional info from bleepingcomputers.com (you have to read down a bit for Win 7 Home Security):

http://www.bleepingcomputer.com/viru...-security-2011

SOMETHING SIMILAR HAPPENED TO ME. I FINALLY HAD TO MOVE THE FOLDER TO A FLASH DRIVE. I NOW RUN SPYBOT S&D, AD-AWARE, PERVX AND I USE FIRE FOX WITH MANY OF THE ADD ON THAT SEEM TO PREVENT THIS SORT OF THING.GET A GOOD REG CLEANER FROM CNET AND SEE WHAT IT DID TO YOUR REG

I can't! I try to open ANYTHING even my documents, it asks what I would like to run this program with, so for example, with IE I choose to run with Internet explorer and I click run and then run again and IE pops up for one second, not long enought to even load, and then dissapears and I am stuck in this cycle. I can't do a system restore, because I can't get to system tools. I can't open ANYTHING except the start menu, after that, if I click anything, I get stuck in the 'which program would you like to use?' cycle. I was wondering if there is anyway of getting around this? I think I have managed to get rid of the virus, it's just I've deleted something I needed.

Hi again. :)
If you can get to your start menu you should be able to access Safe Mode. To do that you need to enter the Advanced Boot Options menu. That's usually done by re-starting your computer and immediately clicking the F8 key on the top row of the keyboard. Keep clicking until you see the Advanced Boot Options menu. You can select Safe Mode or Safe Mode with Networking (so you can still have access to the internet.)

I'd suggest starting with Safe Mode. (Your screen will look "odd" and you should see the words Safe Mode in each corner of the screen.) From there I'd run a full scan with your own antivirus/antispyware. If it comes back clean (no malware found) I'd restart your computer a second time but this time go to Safe Mode with Networking and try to download the Malwarebytes. Let us know if this works for you.

Advanced Boot Options

Safe Mode

Do you have an installation disk for your Windows 7? Do you know if your computer has a manufacturer furnished recovery partition? This info will help us determine what other options you have to restore your machine to a like new condition.

Thankyou all so much for your replies, but I finally worked out a way to do it.
I had to create a new account on my laptop which had everything new and reset.
Thankyou all for taking your time to post replies c:
Piggy x

Hi Piggy -

Glad to hear you were able to create a new account and all appears to be working well. Unfortunately, the malware is most likely still on your machine. So I'd again encourage you to run a full scan with your current antivirus and antispyware and then run a full scan with Malwarebytes.