3. After I enter my email in step 2, I am redirected to the Profile page, where it states "no records found". Why? The emails match and the temporary password is saved in the database, so I don't understand this.
At this point you are not logged in, so the profile page wont be able to show you your profile, the profile should not be displayed untill after you log in.
Send a copy of your login page and the profile page in a zip archive so I can look into why it is not working after login.