AVATAR and passoword change not working

running 3.3.1 new install, with latest buddypress.

I ran a import from ning app, first yours but yours didnt upload the discussions and blogs, so I ran another one.
since that time I then noticed I couldnt change my avatar with no error shown most of the time. the rest of the time I get a GD not installed message.

My members are beginning to move to the new site, its being reported they change password but the change doesnt save.

I think these 2 issues are related. any ideas?