Originally I was able to send emails from my phone's hotmail account, but I could not reveive them. I had selected under Send and Receive, Download Settings, 3 and then 4 days worth of msgs to download. One very old msg was downloaded and then nada, nothing. When I changed the number of emails to be retrieved to ALL, all of my emails downloaded onto my phone. It took a few hours to retrieve all the emails. Then what I did was to unclick the connect to server option when deleting msgs, and deleted all the msgs on my phone. That preserves the msgs on the hotmail server, but gets them off my phone desktop.
I hope this helps someone out there who is having the same kind of problem with their hotmail. Maybe someone should sticky this.