Has anyone used Bootcamp to successfully run Windows 7 on Mac?

i have a recent 13" Air w/250 GB SSD using about only 60GB of space.

Tried to run bootcamp to make a 20 GB Win7 partition and was advised that it couldn't move some files. I deleted a bunch of big files but that didn't help.
Fanboys on the net tell me there's no point defragging since the machine does it all the time itself.

Apparently, the 'fix' is to backup the whole drive, erase it and reinstall OSX.
Seems a bit drastic, not to mention the pain of reinstalling all the apps.

Suggestions? (other than get out of town)....