Xtar 2600 pcb broken!?!

I just did a voltage reading and it said 3.26 volts... Isn't that much too low?

3.26v is a normal voltage for a Li-ion battery. Sanyo states 2.75v cutoff, 4.2v full charge. So the circuit is just fine. You were probably worried about the 3.7v ,that is the nominal voltage, that is a given value since the cells work from 4.2v to 2.75v

Ow ok thanks! that was the answer i needed