As far as the issue that your friend is experiencing goes, is it possible that there's some sort of security protocol or verification process requirement that's not being met?
No, she knows all her info. It lets her sign in but as soon as it does Live pops an error message saying she can't connect. She tried deleting her profile and redownloading it but Live gave the same error and it wouldn't let her download her profile to my 360, or to her USB in my 360, or to her harddrive in my 360. Thankfully she was able to download it to her 360 with her harddrive.
So the common link is your 360? Can anyone else download profile and work on yours? Can she get it to work on a different 360? And didn't you say earlier that you can't get online on your 360?