New Customers - rRgistration, The Address Book and View Basket Error

[grafis]

Looking for some help on how Registration works so we can explain it to customers (having to explain it, not good).

The customer...

1. Clicks Register link
   
   
2. Fills in information
   
   1. 
      
   2. where is the address info?
      [*]Clicks Register button

[*]Does not receive a Welcome! email

[*]Does not receive any instructions indicating that they actually haven't fully registered

[*]Adds items to cart

[*]Clicks View Basket

[*]Receives error message

1. The following errors were detected:
   A billing address is required before you can proceed.
   

[*]Adds the required billing address and clicks Save

[*]Lands on "Address Book"

[*]To recap, clicking "View Basket" lands you "Address Book"

No Welcome! message, no instructions and now an error... I'm lucky if they don't close the browser at this point. The goal seems to be to create an address book so users can have multiple shipping destinations which is cool but it's a bit awkward for a first time customer. My site owner and customers are confused and that's not good. How is everyone dealing with this?