A:AnswerYes older computers and operating systems used to only accommodate 500 gig or less. So if they told you that then it is probably right. Sometime the bios or OS is the limiting factor and sometimes you can update either or both and it might work but with the cost of computers now just get a new one.
A:AnswerThe most probable cause is that it has not been configured for your system. Read the instructions that came with the device. If that fails, you may have a defective product.