Apparently this is a problem with the host.. I used a different account on the same server and now it works..
I just tried uploading fresh WP files, it did not work. I also tried replacing localhost for 127.0.0.1, that did not work, neither did entering the domain. I changed the MySQL password and it still does not work..
Does anyone have any idea how I can get this back up and running?
Oh, and apparently they are running Red Hat Linux.
They have not made any changes. It is still running MySQL 3.23.58.