Hi,
Look just because windows won't boot doesn't mean the hard drive is stuffed.
The best thing to do would be:
1) Buy an SSD. It will make your laptop faster than many new models, it will make your PC lightning fast. I'd recommend an Intel branded drive, in my exp they are more reliable. There is no point trying to fix the current drive because if it is faulty it may happen again, so get something like this:
http://www.pccasegear.com/index.php?...ducts_id=19276
The 60GB models are about half as cheap, and for most people 60gb is more than enough for the OS (say about 10gb-20 for win 7)
They are super easy to swap out.
http://www.youtube.com/watch?v=QQx7PlIXFuE
Having a 'smaller' C:\ drive is actually a good thing, because it will force you to store your data on an external drive, which you should then backup again depending on how serious you are. I have a 120GB ssd and then a 1TB in my desktop.
You could remove the DVD drive on the laptop (get a cheap external USB drive) and then you'd have space for a larger normal mechanical drive, if you wanted in the future.
2) Install the OS. Even if you don't have the media you can still install windows 7. There should be a sticker on the laptop which has your product key. Find out which version your license if for, then download the ISO here:
http://www.mydigitallife.info/window...-home-premium/
Once you've got the ISO downloaded, you need to make a bootable USB disk. Get a USB stick with over 4GB of space on it. Then use this tool to make a bootable disk, its basically the same as having win 7 on a DVD.
http://www.microsoftstore.com/store/...usbdvd_dwnTool
It's very easy to use. Just make sure you don't have any other USB devices like external drives etc plugged in because you might accidentally wipe the wrong drive! (I've done this before

)
Now plug the USB into the laptop and turn it on. Watch the post screen because it will show you which key to enter boot menu. It's easier than changing the bios, because it just lets you change which device the laptop boots first from, for one time only. It might be F2, F10, F12 or even ESC. Just look up the manual for your PC.
Now follow the prompts and install windows 7. Windows will scan your hardware and install 90% of the drivers you need. You may need to download and install some others after windows has started, like WIFI for example, it just depends on the model. Check in device manager to see which devices are not being detected, but generally the only drivers I would bother with getting from the manufactures site would be:
Video and
Network (IE Wifi etc)
Activate windows using your product key under the laptop!
3) Ok now that you've got a working laptop again you can then try to get the data off the old drive. If you have an external hard drive enclosure, or you can get a SATA hard drive dock, then chances are the disk will work, and you can get data off it like a "USB stick", if you like.
Don't spend any money on data recovery software, if no files show on the hard drive then there is a free software called "Recurva" which will show them. But don't spend money on other software because it probably won't work.
Good luck and just PM me if you need any help.
http://forums.overclockers.com.au/?