System restore failed

Had this problem with my system restore after I restore it as a result of my deleting the user account on my pc last time.



System Restore is not able to create a restore point.
Please restart the computer, and then run System Restore again.

What am I going to do?
Here is a tip from the net. Want to try it later.


statemgr MUST be enabled in msconfig for system restore to
work.

To check:
Start>Run>(type) msconfig>Startup Tab>make sure statemgr is check>OK>restart if prompted to.

Then try this if it is still not working.

1. Restart your computer in Safe or DOS Mode.
2. Click Start, point to Search, and then click For Files or Folders.
3. In the Named box, type wininit.ini.
4. In the Look in box, click Local hard drives, and then click Find Now.
5. Right-click the Wininit.ini file, click Rename, type wininit.xxx, and then click OK.
6. Close the Find Files window, and then run System Restore again.
7. If the previous steps do not resolve the problem, run the following command to repair the damaged portions of your registry:
Start>Run>(type) scanreg /fix


UPDATED!!
I cant even do scandisk! I tried to scandisk in the tools tab.
Have to use the DOS based CHKDSK.
And found quite a lot of errors.
Fixed it and hope it will be ok