I have contacted microsoft and he is working with me to resolve. I think I confused him however because while working with this computer I found out I have another one that's gone haywire. The other one will only install windows defender and another update that it installs just about everyday. Gives me error codes 643 and 80070490. Sooooo got to issues going on.
I did contact Microsoft and we went through several different attempts to resolve, however he is now sending me the DVD with the SP2 pack on it because I have SP1 so I can do an In-place Upgrade. Waiting for DVD. It seems one thing turned into multiple issues so this is suppose to fix it all I guess.
Did resolve my issue but had to get the DVD from microsoft with SP2 on it to do a In-place upgrade. Everything is working now. One issue I had had something to do with my .netframe version 4. Now my updates are being automatically installed correctly. Hope this helps someone.