Load Live Messenger; will not log onto hotmail or save password

I have two clients who have different hotmail issues. Maybe someone will have an idea…

I upgraded the browser to 7.0 and loaded Live Messenger on both. Both run WinXP Pro SP-2.

1. First client can no longer log into hotmail. Damn, I cant remember the exact error now. I think i said wrong user name and password in red after you put in your user name and log-in and hit Go.
2. Second client checks the save user and password box and it never will?

There are so many posts on the internet. I cant seem to narrow these issues down enough to find my answer.

Side problem: Outlook 2007 is too slowwwwww…