I have checked the preferences and it says they are on but when one is downloaded it will not show up in the members profile or on the board.

One place to check is:
Control Panel » Display Options[-]Topic Display Options
Enable, Show User Avatars?
Next:
Control Panel » Site Permissions
Can upload an avatar , set to 1 for each desired group

Next:
Control Panel » Profile Settings
Avatar Upload Storage Directory: set a path.

And make sure you use the test link directly underneath.
Very important task.

In fact you need to set all of the fields in this page.

not only test the directory for 777, but also ensure the http link is right..

i see peeps append a / at the end when it ain't needed..

:2c:

Avatar Upload Storage Directory:
Full URL to Avatar Upload Storage Directory:

Reuben its not showing either one of these as having a directory.

When I hit the Test Button I get this:

Testing ''
Directory does not exist!
Test failed. Either the directory was not found or cannot be written to by the web server.

bingo!

that's it..

you need to decide where you will store avatars first..

ie: images/avatars as an example..

then fill in the path to that dir and the http to that dir after making the dir writeable

then you are good to go

Yep you need to create a directory or decide to use a existing one.
Before you make any entries.
And make the directory writable via permissions with your FTP program.
Either case you must type in both path fields in the control panel.
and If I recall you must use the test link because it writes a test file to that directory. Besides checking to see if the path is valid.
Then also you must set the file size limit.
And the pixel size.

Right now the avatar uploads are going to la la land.

Everything I create it says its not there! Whats the Chmod to make it writeable? 755, 777 what?

That is your choice.
The existing avatar folder is the stock ones to choose from. Which you can add to also.
Personally from a file management perspective. I would make a unique folder so you know all the files in it were uploaded by members not you.
It could be a sub folder of the stock one.
avatars/uploads.

It won't acknowledge anything I create independently or otherwise..

Okay. Little more detail needed.
Going to be a little tough with out access.
You probably either have the path wrong or the file permissions are incorrect.
What is the url to the folder you wish to use.
www.whatsite.com/whatfolder.
Try to upload a file to the folder with your ftp program.
View it in your browser.