Problem with Install Into Root Directory

Hey folks,
I currently have a blog at: A Pilgrim’s Progress…
The trouble is, its not in the root of the domain, but in a “/wordpress” subdirectory that Elephante Installer (the php installer my host “Freehostia” uses installs it in by default.

So I have tried to install a second instance, which my host says is just fine, in the root directory using this installer but when I don’t give it a subdirectory and it installs in the root I get a WordPress Error Page “you don’t have sufficient access to …” blah blah blah when I try to log in via the php admin page…

I’m redoing my site for several reasons, I just found that my theme looks horrible if you don’t have my themes’ font (Papyrus) installed on your machine (is there anyway to embed the fonts in the theme), and also its just better cause search engine reasons, etc.

HHHeeeelllP, please! 😀
Kyprian