My Alcatel one touch keeps telling me that I have entered a slight misspelling of my email address and that they have corrected it for me but I need to re-enter my password. This happens even when I disable the facebook app from my phone.

Suspicious scam action here
Alcatel will not be contacting you about your e-mail address
This is a common ploy that hackers use to get your password so that they can enter viruses and malware into your system
that allows them into your identity and your bank account
If your e-mail address is incorrect you will not be able to send or receive e- mails and it is up to you to contact the service provider for a solution to the problem---not the other way around
Yes the letter looks official but they are very good at that
just check it out first by contacting the service provider direct on the phone on a number listed in the phone book (not the one on the communication) and ask questions there