Xbox 360 No Drive In But Still Unformatted (OS Glitch)

Soreness MBD

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I've bought a used Xbox 360 E few days ago. It has been sold without the disk in so I bought my own 20 GB drive to store games and save data somewhere. The drive that I bought works perfectly well and is fully functional when it comes to saving game progress for example but there's something odd going on with the console.

So even if I take my drive out - when I'll go to menu - I'll always see an "Unformatted" drive. Formatting it does nothing. It seems to cause some... Issues... After changing language for example - console just switches to the previous thing on reboot. Same with Wi-Fi network. I deleted the router that it has been previously connected to like 5 times and tried using mine instead but it somehow gets that previous data back. I can't update the thing even with the drive in. I guess that it attempts installing stuff on that non-existing drive that is probably some sort of a glitch and takes settings from BIOS or something.

My question is - do you guys have any idea on how to fix that? I want to connect to the internet to buy few games that don't have boxed editions (SoulCalibur (Dreamcast Version from XLA), SoulCalibur II HD Online, Conker Live and Reloaded (Would probably have to download compatibility update). ) and I can't...
 
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