Started with new phone with 1.1.1 firmware
tried to use iDemocracy - wouldn't work
Switched to manual method
Installed Jailbreak - OK
Installed Touchfree Alpha - OK
Installed WinSCP - opened - put in IPaddress and info - get error message
"Network Error connection timed out"
Make sure you have BSD subsystem AND Open SSH installed on your iPhone.
Also if that still doesnt work you could try disabling ur firewall for a few mins incase thats whats stopping it.
Not necessarily. If you used touchFree you will have Dropbear already installed. You need to give a few tries and wait awhile. it'll work eventually. If all else fails. Follow the tutorial here.
It'll show you exactly how to remove the Dropbear files, and then use the OpenSSH (which is the most commonly used SSH client). It seems to work more efficeiently.