I'm really pleased you got everything back with a System Restore deadgurlee. Good work.
And my apologies for thinking you didn't know how to use Ad-Aware SE Professional.
About the AVG 7 scan. By doing a system restore you may have uninstalled AVG 7. If there is no AVG icon in your system tray, (next to your clock), or if you have an AVG icon on your desktop but when you double click it the program doesn't load and you get an error message, then it has been uninstalled. But that's not too much of a problem. You can re-install it, even if it means downloading the installation file again.
Many of us keep downloaded files like this in a separate folder, ( I call my folder Downloads, ). In fact, my Downloads folder has sub-folders inside for the different types of files I might download, eg Anti-Malware, Games, Utilities, Browsers, Drivers, etc.
This means that if ever I have to use System Restore which might uninstall a program I installed "after" the restore date, or if I uninstall a program myself, I can always re-install it again if I wish.
I don't think you did anything wrong with using AVG. But it is possible that you had some sort of malware, eg a virus that changed your internet settings, and when AVG cleaned it out, your settings were lost.
Don't give up on AVG. When it is running well it is very good ongoing protection against viruses and I've never had any problems with mine.
A suggestion. Decide to run it again, (you may have to re-install it and then update its definitions again, although quite possibly the newer definitions will still be stored on your computer. If so, when you try to update you will be told that there are no newer updates available).
But, before you do run it, create a System Restore point. That way, if the same thing happens you can restore back to that point, and then come back here and explain what has happened and we will try and help you sort it out.
AVG has a useful ability, as do other anti-malware programs, of allowing you to "Quarantine" infections. They store the infections in a quarantine area where you can leave them safely, and if by moving them there something is not right with your computer, you can return them from the quarantine area. In AVG it is called the Virus Vault. I have one infected file in mine at the moment. I haven't finally deleted it because it may be what is called a "False positive", ie, AVG thinks it is a virus, but it may not be. If after a week or so I have no problems on the computer, I will consider deleting it.
You can always use the quarantine area in the same way.
Other anti-malware programs may do it differently. EG SpywareBlaster allows you to take a "System Snapshot" before immunising with any updates. And Spybot calls it Recovery.
Good luck and let us know how you get on.