1. Without the SD card installed boot up the phone
2. Go to Settings > All > Storage & USB
3. The SD Card will be greyed out
4. Click on it and click on Erase and Format
5. Set it to Internal storage but do not accept move apps. Say you will do it later.
6. After a while, the SD card will be ready for use and all your orginal apps will be there.
7. The phone will work
8. The default for storing apps is set for internal. We need to change this to the SD card
9. The only way to do this is by going to Settings > Backup & reset > Factory data reset (You will need to make a note of all these apps before erasing and formatting so you can reinstall them again).
10. There will be a dialogue regarding the SD card and this needs to be set as the Internal Storage for all apps. If it asks you to move any apps from internal storage to sd card - say yes.
11. The SD Card should now be set up as the default internal storage.