WRT54GL Wireless Router says "No Internet Access" or "Cannot find IP Server Address"

I tried setting up a home network with my above Linksys router and can't connect to the internet now. I have the ethernet cable from my DSL Modem hooked into the ethernet port on the back of the Router. In port one, I have a cable which attaches directly to my laptop as I was advised to use a cable for initial setup of my home wireless network. I was able to get into the router to set all the passphrases and wireless security settings, etc. My ISP is PPPoe and I have entered both the UserId and Password that my ISP provided. However, upon clicking on the wireless icon, my system states I am connected but the status screen shows "No internet access". I have no problem connecting to the Internet when the cable runs from my DSL modem into my computer, so it's something to do with the router blocking it now.
My ISP does not support my Linksys router, of course, and they tell me I need to contact the manufacturer telling me the router needs to be set up as a 'bridge" ??? There is no mention of anything like this in the manual and I do not know if there is a setting on the router that is somehow blocking my being able to get an internet connection. This is all still with cables attached. Again, I seem to be able to 'connect' to the wireless network but I now cannot get to the Internet thru the router...
Can anyone tell me what I am doing wrong? Thanks!

Thanks, I did try the step by step instructions and changing the internet type to DHCP but still unable to connect to the internet. Setting back to PPPoE type, the error message now continues to say it "cannot find the IP address of the PPPoE server." I have reset the router back to factory defaults and reset the security and setup settings to no avail. My ISP (Juno), after providing the connection type, login name and password, stated I need to contact the manufacturer of the router and ask that it needs to be set up as a "Bridge". ??? Does this sound familiar to anyone?
My modem is a DSL 2Wire. On it's homepage, there is a field called ATM Encapsulation that is set to "Bridged LLC" but I am not touching the settings of my modem for fear of messing up my internet connection altogether. It has to be some setting on the router, is all I can think of. On the Status page of my Linksys router where I try to connect to the internet, once PPPoE is selected, the blank IP address and Subnet Mask settings are zeroes and you cannot enter anything into those fields. (I was going to try entering the address of my modem just to test if that might work...)
This is very frustrating. Even tried the 30-30-30 solution I read elsewhere worked for someone. Nothing. Same error message. Once I hook the ethernet cable from my modem into my router, I no longer can access the internet because it keeps saying it cannot find the PPPoE IP address.

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Solved!
Go to Solution.

Do continuos ping ping 192.168.1.1 -t and check how many replies or RTO you will have. If you have replies even just a bit connect your PC to the modem to get internet connection and download the latest firmware and upgrade utility for your Router.
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WRT54GL Wireless Router says "No Internet Access" or "Cannot find IP Server Address"

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