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Wordfence is really good, we have a lot of clients that use that without any issues. -Matt

Once you re-install make sure to download and use a security plugin. They really help. Also, check if your current web host is using Mod_security rules they really help with certain attacks. -Matt

Yeah it sounds like you will have to upgrade to either a VPS or dedicated server. It really depends on the type of content you are serving. If it's dynamic it will probably take a pretty beefy server.

Yeah 3Gb is more than enough if your site isn't heavy on dynamic content. Good luck with your websites, keep working hard and I am sure it's going to work out for you.