Hey Angie,
Aaaahh...the dreaded Vray noise problem...
First of all, you always need to post what versions of the software you're using...it makes it very hard for people to help you if they dont know. Software is changing all the time and different versions have their different quirks. Vray was completely overhauled recently, so very important to know there.
Your main problem is under 'Progressive Image Sampler' you have Render Time (min) set to 1, which tells the Vray to stop after only 1 minute of rendering...which is not anywhere near enough time to clean up your image to your set noise threshold of .005. (this was an oversight by chaos group of making the default 1 min....I can't count all the forum posts from problems due to this....)
Setting 'Render Time (min)' to '0' effectively disables a time limit and lets your render run its course until desired noise level is reached. Your render will come out a lot cleaner.
The other big problem is that you have 'Use local subdivs' checked under 'Global DMC'. Very bad unless you REALLY know what you are doing...but if that were the case, you wouldn't have that checked.
Checking 'use local subdivs' tells Vray, "hey, I'm going to set and manage subdivs individually for every single thing in the scene - materials, lights...everything - then render, check sample rate passes, adjust subdivs and render setting, then render again and repeat again and again until my scene doesn't have any noise. (this was the old style)
But, leaving it unchecked and just setting your desired noise level lets Vray use subdivs where it needs to for anti-aliasing and glossy reflections. A much easier workflow. (this is the new style after Vray was 'revamped')
One other thing, for Light Cache subdivs, 1000 is pretty low for an interior scene (usually....just in my opinion). Once you get it sorted out, try upping your LC subdivs to around 2000 and see if the added quality is worth it. Light Cache calculations only add extra time before the render actually starts, but can add some needed quality. Might be worth checking out.
Lastly, In your 5th pic underneath 'System' in 'Settings', I'd go ahead and set you 'dyn mem limit (mb)' higher if you have RAM available. It could save you from running out of memory later as you add more props/entourage, etc to your scene.
I would highly recommend to:
--First, reset to Vray defaults. (Under 'Common' tab in 'Assign Renderer', switch renderer to scanline, then back to Vray.)
--Then, set your 'Render Time (min)' to '0' to disable the time limit.
--Check to make sure 'use local subdivs' is UNchecked
--Try a render and post your results along with setting and Vray version and we can go from there to see how we can improve your image.
Hope this helps you out and sorry about any misspellings...had a few tonight.
Cheers!
Greg