You shouldnt go ahead if there is a stack overflow. It means that somewhere in the code you keep on executing calls but are not executing a return for each call. The 'stack' is actually the amount of calls you can stack before the pic forgets where the first one was supposed to return to. Probably the stack of pic16 is 7 calls. For a start, i'd suggest to make sure you do a return before you do any other calls, keep the stack at 1 or 2 only.
Also, its okay that you feel you are a newbie, i commend you for learning this devnode. You soon wont feel like a noob.
With regards to the __CONFIG way, follow this:
http://ww1.microchip.com/downloads/en/DeviceDoc/PIC Config bit Format_Syntax_AndDefinitions.pdf
make sure that its two underscores before the word config and not just one underscore, i made that mistake before..