IPhone 3GS no longer works as it did the past 2 months!!

Despite the reputation of the AT&T network, I decided to make the switch (and get an iPhone) back in January. For the past 2 months, everything worked flawlessly! AS GOOD AS (dare I say) Verizon! No dropped calls. Good network (3G) coverage...no problems. NOW: I can no longer use my phone at my house! I HAVE to connect to my wi-fi. Calls can't be made. The service ***** now! I chat w/tech support, and they tell me that it's because of the lack of 'towers'. So I asked them if they just recently tore some down, and explained my GREAT service for the past 2 months! NO HELP from them...Anyone here have any ideas? Thanks!!

Copied from this link.
http://www.apple.com/iphone/how-to/#settings.locking-your-sim-card
You can lock your SIM card, so it can’t be used without a Personal Identification Number (PIN). You must enter the PIN each time you turn iPhone off and turn it back on again. Some carriers require a SIM PIN in order to use iPhone.
IMPORTANT: If you enter the PIN incorrectly three times, you may need to enter a Personal Unlocking Key (PUK) to enable your SIM card again. Refer to the SIM card documentation or contact your carrier. Some cellular networks may not accept an emergency call from iPhone if the SIM is locked.

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