Ok, no problem. Which make and model phone is it?
Here's what we need to do, and it should resolve the issue right away. If it doesn't, we can try other troubleshooting but this should do it.
Ok, lets try something else to see if we can narrow down whats wrong. Now that you have done that, there is only a couple of things that can be wrong.
Go to the Market and install "GO SMS Pro". Its free, and a much more powerful SMS/MMS app than the one you are using. During install, just press Next or OK and do not change the default settings, you can always uninstall the app later.
After you get it running, send a text message to someone and ask them to reply. Let me know if that works or not.
Ok, then the issue isn't with any data stuck in your messaging system.
There is only one thing left we can try, and if it doesn't work then the issue lies on Verizon's servers, and not on your phone.
We can try a complete reset of the device. You can backup text messages if you need to, with the app you just installed. As long as you have a Google account synced to your device, your contacts, calendar, etc. will be re-synced to the device after you run the initial setup again as long as you sign in with the same Google/Gmail account. I do recommend you go to gmail.com on your computer and click on the contacts link, then check all your contact groups to make sure the contacts are synced(if not, ask me about contact backup instructions). Any apps you have, you can also get back by opening the Market, pressing Menu on the phone and choosing "My Apps".
As far as any data that is stored on the SD Card(images, music, etc.), it will not be erased. Only the phones internal memory is formatted.
To complete a Factory Reset follow these directions:
After you reset the phone, and you have it setup again, if the text messages still aren't coming in then the issue is on Verizon's network itself and you will need to go into a store and show them you reset the phone and your account needs to be checked.
Will there be a problem upgrading to 2.3 once I do this? I have read this is a problem while searching for answers.
Have you already received the 2.3 update?
If you have, the phone will stay at 2.3 and wont revert back. If you haven't, it will in no way effect you getting the update.
It returns the phone to a brand new condition, but does NOT stop you from getting the update.
It will tell you on the screen which buttons to use to navigate and select options in the menu. I think your version is volume down to navigate and power to select, and then it will tell you to press volume up to confirm. Just be careful to read everything on the screen and use what buttons it tells you to.
Ok great, keep me posted on how it goes for you.
If you are still not receiving text messages after that, then you now have proof its not the phone but the carrier. You need to take the phone into a Verizon store and go ahead and reset it right in front of them if they want, and that way they can see there is something wrong with your account and they can have their tech department check your account.
Sorry, but the good news is the phone is not broken.
No problem, I wish it was easier and we could have resolved it but we literally tried everything.
Good luck at the Verizon store!
Have a great day!