I think I was Hacked…

Replace file by latest ver. https://timthumb.googlecode.com/svn/trunk/timthumb.php

Do I just copy and paste? Will that affect anything on my WP theme?

HTML illiterate here so I don’t know what timthumb does etc.

Thanks for the help!

Yes, you can do copy and paste.
timthumb.php is a script for generating thumbnails
…create also timthumb-config.php file with the content:

<?php
define ('ALLOW_EXTERNAL', false);
define ('ALLOW_ALL_EXTERNAL_SITES', false);
define ('DEFAULT_Q', 90);
define ('MAX_WIDTH', 1500);
define ('MAX_HEIGHT', 1500);

$ALLOWED_SITES = array ();
?>

I just did that, thanks! We will see…