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Hi CasualGamer,
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Are you only using the Camera under the water? as the device will only work when the handset has first loaded the camera, and then using the camera button to take the picture.
No other services can be used when the device is submerged due to the fact that the screen will not be functional.
It is normal that the screen behaves like that under water. I suggest you grab an app called touch block as it is useful.
Touch block app will do what the name says. You can take underwater pictures with it.