I've received the kobo as a present, have set it up and now am trying to download a free book to try it out. However it saves to Word and is gobbdegook! How do I change it from Word or do I have to start from scratch setting it up again? Thanks.
Your question doesn't make sense. Files don't get saved to Word, they get saved to your hard disk. From there, you transfer them to the Kobo.
Presumably, what you are doing is trying to open the file on your computer. If you want to do that you need to install some e-reader software on the computer.
What extension does the file you are downloading have? (that's the characters after the dot - eg. .doc, .pdf, .EPUB, .MOBI