I agree with backing up before you do the firmware update (although, I rarely practice what I preach, but that's another conversation altogether). I doubt you'll have to recall any of the settings or have any issues, but you might as well have it at ready just in case.
It seems this little exercise has given you the confidence to jump in and play around with settings a bit, which is fantastic.
I had intended to answer the questions you posted yesterday, but accidentally erased my response about 3/4 of the way through and didn't have time to re-write them.
1. When your SSID isn't broadcasting (invisible) your laptop should be looking for it periodically in the background and auto connect when it is in range. This is of course assuming you have told it to do that. You may want to try removing the network, turning broadcasting off (make it invisible) and then re-adding it manually if you haven't done this already.
2. I'm not sure why the Westell has multiple character entries. Is this a new occurrence or has it always been that way? Either way it's probably a security "feature" so people don't know how many characters you are typing, but unless it interferes with something I wouldn't worry about it. As for not remembering your password I'd place that in the hands of your browser. What web browser do you use and do you have it set to no remember passwords and/or disabled cookies or have any extensions/add-ons that are security related and might be stopping it from getting stored? This is just a guess at this point.
3. If you are running a bandwidth test, whether you are wireless or not shouldn't ultimately effect your speed as it should be your external bandwidth that you are checking. There are some caveats to this like if you are getting a terrible signal on your laptop (are you?), but since the wireless should be symmetrical for upload and download, I'm not sure why both speeds went down. My guess is, something is being reported incorrectly and you won't notice any real world difference. Happy to help investigate though if you are seeing issues.
Jin, I'd love to hear any ideas you have on this last point. I can't think of anything else that would kill his speeds like that, but that doesn't mean there isn't anything.
As for FiOS, consider yourselves lucky. I would love to have options besides Comcast for my internet service provider, especially the hotness that is FiOS. I am currently bugging a local start-up ISP called MonkeyBrains to see if they can get a wireless link directly to my house. So far, no luck, but I am going to keep bugging them until we can make something happen. Symmetrical bandwidth, here I come!