iPhone 3G apps and music missing after restore

[ljk7]

I am Soooo NOT iPhone savvy.... I hardly ever connect to my computer for updates and when I do something usually goes wrong. My iPhone locked up during update. I reset thru iTunes. I think I then "restored" because contacts and notepad are back but my apps and music are gone from iPhone. Since I have no idea what happens during a sync, I am afraid that if I sync with computer some (or all) of the following may happen:
1) lose contacts very bad since I have no other place where this info is stored
2) when iPhone "backup" occurs during sync it will it erase all my apps and music from the Library
3) lose notepad info

Just want everything back the way it was... HELP????

If you have time can you explain what happens during a sync??

 

[MaxBurn]

Sounds like you restored as a new phone when you wanted to restore from backup. Restore again and when done pay attention to the messages, you need to select a backup from the drop down it presents.

 

[ljk7]

Sounds like you restored as a new phone when you wanted to restore from backup. Restore again and when done pay attention to the messages, you need to select a backup from the drop down it presents.

Thanks, MaxBurn. I am trying to do this now and I may need some help. I am in iTunes and it is asking me "Do you want to back up the settings for the iPhone before restoring software?" What do I answer here?

 

[ljk7]

If I click "Don't Back Up" it asks
"Are you sure you want to restore the iPhone to it's factory settings? All of your media and other data will be erased."

Do I click restore here?