Hey Guide, rather than trying to create on your account on the Xbox 360, can you please try the 'download profile' option instead? Please let me know if that helps! :-)
How to use the forums
i know mine too.im trying to sign up with xbox live and it says that did yours do that?
MerryGull59014, these forums work best when you create a new thread with a first post of your own, as the original poster's problem and solution, although similar, could be very different in detail. It's great that you're researching here, but the quickest path to a solution is your own thread.
Support: tinyurl.com/XBLnumbers or Request A Call support.xbox.com How to get FreeLIVE j.mp/XVriY7
1) Tap the silver Xbox Guide button
2) Select Download Profile (and if you don't see it, press the blue X button to make sure you're not signed in) and proceed with Profile Download.
3) Enter the Microsoft Account addresse for your Xbox LIVE gamertag when asked.
4) Enter the password for the Microsoft Account.
4A) If your account is an Xbox LIVE child account, the parent’s Windows Live ID & password is required as well to download your profile.
5) Pick the storage device for your profile (choose Hard Drive if you have one, or Memory Unit if you don't have a Hard Drive).
6) When the download completes you will be asked if you want the console to remember your password. If it's your home console, I'd say yes, otherwise I'd think carefully about leaving my profile unprotected on somebody else's Xbox!
7) Sign in, and retry.