Summary: Spyware and other forms of malware are only becoming more common. We'll review the steps you need to take to avoid spyware and its fallout.
Spyware is a modern scourge. It's certainly on the top 5 list of topics I deal with on a regular basis. Some forms actually live up to the name - "spy" ware - software that actually spy's on you, monitoring and recording what you do. Others are worse: acting almost like viruses, hijacking your web browser, popping up ads, or just generally wreaking havoc.
It isn't going to go away any time soon, and the reality is that it requires vigilance on your part to avoid spyware.
Besides taking normal precautions, you must regularly scan for spyware.
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There are three important steps to avoiding spyware:
1. Install and Run an Anti-Spyware Program
There are many out there, but popular recommendations, all free, usually boil down to:
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I recommend Windows Defender. It comes pre-installed on newer versions of Windows, and is a free download if not pre-installed.
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Spybot Search and Destroy - Spybot is free and does a great job of ferreting out and removing spyware. Spybot is one of the most commonly recommended tools when people are dealing with spyware issues. It also includes options that will help "immunize" or prevent certain types of spyware issues from occurring in the first place.
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Lavasoft's Adaware - Adaware is the other most commonly recommended anti-spyware tool. Adaware Free is available for personal home use.
Download and install the package of your choice.
Now.
Before you forget. 
2. Update the Spyware Database
Your first step should be to update the database of spyware definitions that came with the installation. New spyware is being created every day, and databases used by anti-spyware programs are being updated as well. You need to get the most current and up-to-date database for your anti-spyware program right away.
Most of the programs have update functions that will locate, download, and install the latest databases automatically. Make sure that feature is enabled.
3. Run Regular Scans
Some anti-spyware programs now default to working automatically. By that I mean that once Windows Defender is installed, it goes to work protecting you right away, and defaults to performing a complete scan daily.
Others, however don't. Most support scheduling those scans, but simply don't enable that by default. If your scanner does support scheduling make sure to set that up so that the spyware scans happen regularly.
Additional Notes
Some programs support advanced forms of protection that can prevent spyware from installing. For example, they may lock your browser home page so that it cannot be changed, or can't be changed without your approval, or the "hosts" file may be altered, locked or removed. These techniques are very valuable, and I recommend turning them on.
Sadly, there is still no single "best" anti-spyware program. Each will miss some spyware that the others catch. That's one of the reasons I list several. The best advice is to use one, any one, and have the others "on call" for those cases when spyware sneaks past.
(This is an update to an article originally published February 8, 2005.)
Related:
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Windows Defender Windows Defender is a free, easy to use anti-spyware package that does a good job of protecting you, and includes several advanced tools as well.
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So just how sneaky can spyware be? Much of what we call spyware, like adware, can be relatively benign. But there's definitely the more intrusive, damaging kind of spyware as well.
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My anti-spyware tool is reporting errors in my hosts file. What is that, and why? The hosts file can be used to send you to or prevent you from reaching malicious sites. Different anti-spyware tools can bump into each other checking on this.
Article C2278 - October 24, 2009
I have the same problem as J, Lori, Pieter, and Yvonne. Someone is monitoring all phone calls, in or out, mines and my wife. J, Lori, Pieter, and/or Yvonne have/has anyone found a solution to our problem.
Posted by: Al at December 30, 2008 10:51 AMYou may also be interested in this comparison table found here: http://www.2-spyware.com/compare.php
Posted by: ignas at January 7, 2009 6:05 AMMajor anti-spyware compared by different feature.
Are you familiar with TTY accessory software? It has been downloaded on my cell phone. Also, are you familiar with the type of spyware that travels from phone to phone like a computer virus?
Posted by: Anne at March 8, 2009 6:00 AMOff late I am finding lot of blogs giving spyware removal information. Some of them like http://webtoolsandtips.com are nice. I do not know how far they are useful, but still they give some food for thought.
Posted by: Silki Garg at March 29, 2009 7:16 AMI am have trouble big times I have run Ad ware Spy bolt and Eusing register cleaner. My computer slow and the page of death happen often. I was looking in the register and there are lots of porn. I deleted even in safe mode with restore turn off but they come back soon as I deleted them. I did not every go to a porn site but my teenage grandson was on my computer and I expect he did. Please give me some much need advice how to remove it Thank you for any advice or help BJ
Posted by: Beatrice Jones at July 3, 2009 10:46 PMHello
Posted by: Rajan at July 21, 2009 1:35 AMI have already installed purchased copy of pctools 'spyware doctor and antivirus' .in spite of this recently i discovered i am not able to log into my 'TASK ADMINISTOR' and get error msg 'TASK ADMINISTRATOR' has been disabled. i am not able to use 'regedit' command also in Run program in my Windows XP prof OS.
pl offer ur comment on these 2 problems
thanks
As I am reading these previous comments, I see a pattern here. Most of these people, don't have the computer knowledge to solve their issues. At least they are trying to learn more and ask questions, that in itself is very good.
When the situation becomes so bad, that using regular programs like Ad-Aware, Search & Destroy Spybot, CCleaner, WindowWasher so on and so forth, aren't solving the issue, the ONLY solution is to completely re-format your hard drive and do a 'clean' install of your computer operating system.
The problem is, most of these people haven't a clue about how to do this. They know very little about their computers. So, I highly recommend that they find a 'computer geek' friend, and ask for their help or take your computer to a computer shop and let them do it. Of course, this will cost you money, but, what else can you do? Many 'computer geek' friends will charge you a lot less than computer stores or they may not charge you at all, it all depends on the issues. Buying a new computer will cost you MORE money in the long run.
All I am saying, is this is what 'computer geeks' do, re-format the hard drive. Plus, they usually have lots of 'back-ups' or use an external hard drive for 'backing up', so it is easier to install your basic files, like financial, emails, documents, so on and so forth. External hard drives are the way to go, in my humble opinion. They are not as expensive as they were when they first came out and you can get a LOT of storage space for a very reasonable cost.
Posted by: MmeMoxie at October 27, 2009 11:20 AMI like to recommend Malwarebytes from http://www.malwarebytes.org/ I'm tempted to tell people to skip the antivirus and just use this. To bad the free version doesn't have a real time scanner.
From one of your older comments about 'FreshDownload' - it's a download manager. Or it seems like it. I use to use it when I had dial-up.
Download managers are almost a required tool if your stuck with dial-up but a waste of computer resources on a high-speed connection.
http://hitanykey.webs.com/
Posted by: Terry Hollett at October 28, 2009 9:18 AMI have switched from ZoneAlarm to the new Microsoft Security Essentials (MSE).
See this review. http://www.ibtimes.co.in/articles/20091001/microsoft-security-essentials-but-not-enough-shake-rivals.htm
Windows Secrets mentioned it and it's false positive and false negative tests were right up there with the best of the breed.
I'll try it for a while. So far, so good.
Posted by: Mike Noonan at October 29, 2009 3:02 PMI found your article on Virus protection very good. I followed your recommendations to download Windows Defender, went to the site & successfully downloaded to my Desktop. I then clicked Run - started the installation wizard ok, but would not install, a message "Installation Error" came up, saying - could not access network C:\******\*****\my pictures\. I went to the microsoft site, which was no help, would appreciate some advice please.
Posted by: Brian Casson (User name Brianeng) at November 14, 2009 9:39 AMRegards
Brian