Will the Daz loader work with Windows 7 Starter?

I bought a used Acer netbook that's annoying the s**t out of me. It came with Windows 7 Starter. They installed the usual crapware. I used PC Decrapifier to remove the junk. I let the damn thing update and then it started giving me constant popup error messages. So I restored it to a restore point. The popups went away, but as soon as I let Windows do its updates, they came back. So I restored to an earlier point again, but this time it had trouble booting and went through the Windows repair thing. Then it booted again, but the popups were back.

I've protected this thing from day 1 with the free Avast Antivirus, and I haven't used it for much. It's my PC dedicated to running my Magic Jack telephone. I also seeded some AVI file torrents that I had already downloaded on another machine. Other than that, it just sits there waiting for a phone call. I do all my other work on a Kubuntu Linux PC, the one I'm typing on now.

I'm downloading Windows 7 Starter in a torrent right now, same OS this netbook came with. I'm not finding a Win 7 Starter license key on the bottom, only a Microsoft Office (puke) one. I wonder if the bozos at the pawn shop were such geniuses they removed it. So, my first question:

1. Will the Daz loader activate Win 7 Starter?

Other questions:
2. The Win 7 Starter I'm downloading is an ISO file. Will I be able to just boot to the thumb drive with that file or is there something else that needs to be done so that this OS will install from the ISO?

Wish me luck in getting a fresh install without all the CRAPware.

Edit: I've found a good tutorial on how to install from an iso file. I'm still curious about question #1 on whether or not the Daz Loader's going to work with Win 7 Starter.