Cannot send or receive in Windows Fax and Scan

Just purchased new system with Vista Business. Builder of system says that
fax was tested and is working. However, I cannot receive or send faxes
through Fax and Scan. Setup appears fine, but error says that sending fax did
not respond in time. Fax program detects call, answers call, then fails.
Modem diagnostics show no problems. One fax sent did manage to send top
portion of page, but bottom 2/3 was unintelligible (according to receiver,
looked like barcode pattern).
Internal PCI modem.
Any ideas would be appreciated.