Okay, I upgraded to 7.5.3 and well, the file attachments issue still exists. I have the same directory I originally set up and in the control panel the directory test good "is readable and writable." If I create a new post with an attachment all goes as it is supposed to when the post is submitted - the attachment is displayed with the file number and name...
When I click on the attachment link the page loads and in the case of an image, all you see is an image place holder. When I look on the server in the "user_files" directory, the new file is not there!!! I reset the folder and file permissions to 777 for giggles and tried it again but I get the same deal.
Uuuuuuuuuuuuuuuugh!