It is very likely you're looking at a broken timing belt! If you would like assistance in determining if it's a broken timing belt e-mail me by clicking on my name on the right.
However to answer your question about the Fuel Filter.
Here are instructions and pictures for it's location and how to replace it.
http://www.autozone.com/servlet/UiBrokerHow to change a fuel filter on a 1998 Ford Escort LX???most fuel lines have special connectors on them which require a special pneumatic tool...it wouldn't cost much to have it done. takes less than 5 mins with proper toolHow to change a fuel filter on a 1998 Ford Escort LX???1. The in line fuel filter is mounted in the engine compartment. Routine replacement of the filter is not required.although you'll want to replace it if you suspect it's clogged.
2. Relieve fuel system pressure
3. Place an approved gasoline container under the fuel filter to catch any gasoline that drips.
4. Pull the plastic hairpin-type retain clip out of the upper fuel line connector. Push the hose off the fitting.
5.Loosen the filter clamp.
6. Securely block the rear wheels so the vehicle can't roll. Jack up the front end and place it on jack stands. DO NOT get under a vehicle that's supported only by a jack!
7. Pull the hairpin-type retaining clip from the hose at the bottom of the filter and disconnect the hose.
8. Installation is the reverse of the removal ...steps
