Does the game state anywhere that you still are on the demo? It sounds like you are still on the demo version. This may be possible due to buying and installing Destiny without deleting the demo first. Normally, a character should transfer from the demo to the actual game and be able to rank up past Level 7. You shouldn't need to delete it. This is stated here: https://www.bungie.net/mobi/en/about/Article?id=12406 If you are still on the demo version, you would need to uninstall Destiny first. Then you delete the demo, then you reinstall Destiny. That should resolve the issue.