Fixed!
OK, I'm not sure what exactly what had caused the error, but doing a soft system restore to before the problem occured fixed it.

Soon I will install my new RAM.
Keisur- Here's how to set up the Audigy through the internal speakers.
1. Plug in the Audigy, with nothing plugged into it. Keep as many other ports clear as possible. That means keep it down to power, internet, and maybe a mouse and printer.
2. Update all drivers and software from creative's support page, and then restart. (If you haven't done this already)
3. Find your "My Computer" link, right click it, then click "properties".
4. Click the Hardware tab, then "Device Manager"
5. Click the + in front of the "Sound, video, and game controllers" category
6. Make sure all of the appropriate audio devices are enabled and functioning properly. If something isn't enable, troubleshoot, whatever it takes. Close this menu.
7. Open "Control Panel", "Sounds and Audio Devices"
8. Click the Audio tab, set "Sound playback" and "Sound recording" default devices to the Audigy option.
9. Click the Volume button in the "Sound playback" area and make sure nothing is muted or too quite. The one in "Sound recording", I'm guessing, should have Line In checked.
10. Set the Default "MIDI music playback" device to "Creative SoundFont Synth".
11. Near the bottom of the Audio tab leave "Use only default devices" unchecked.
12. Now click the Voice tab. Set "Voice playback" default device to Audigy. Set the "Voice recording" default device to Realtek.
13. Click the Volume button in the "Voice recording" area and check Microphone. This should allow you to still use the mic, but I haven't tested it in any applications.
14. Click OK to save the changes, but leave the Control Panel open for a quick double check later.
15. Double-click the "Feature Mode Selection Utility" in the notification area. If it isn't there then open it in the "Creative" folder in the start menu to put it in the notification area. If it isn't there either, than you haven't updated enough from Creative's website.
16. Anyway, once you have it open you can select Advanced and put the resolution to maximum if you want. Check "Enable audio playback through Notebook speakers".
17. Click "Test". The first test doesn't usually do it. Just answer honestly and click OK on the further attempts untill you hear a drum beat.
20. Reopen the "Sounds and Audio Device Properties" (step 7) on the Audio tab. The Default MIDI device Should have changed to include a number whitch corresponds to the attempt that worked in the test. Hopefully none of the other settings (like Sound and Voice Recording) haven't changed. If they have it's possible that you may have to do some tinkering in those areas to get them to work right, but do that some other time.
21. You may have noticed that only the test gave you any sound after you changed your default audio device. This is what threw me for a while. What you need to do now is restart your computer. DO NOT REMOVE YOUR AUDIGY DURING THE RESTART.
22. Your sound should work fine now! Just make sure for one last time that the Audigy is still your default audio device and enjoy!
You can now also yank and reinsert your Audigy and the laptop will automatically switch back to and from the Realtek internal sound! The "Safely Remove Hardware" Wizard probably won't allow you to "stop the device", but there haven't been any issues for me. For instance if you pull or insert the Audigy while playing Media Player the sound will cut out untill you change tracks or shut off and restart the player.
Sorry about the long instructions, but I thought I'd be thorough and help out those in need. Now I'm off to install my RAM.