Key will not turn in Ignition

I had the car for two years and had no problems with this until three days ago. I made it home from work just fine about a hour later I go to get in the car to go to the store. I stick to key in Ignition the Ignition will not turn, the wheels were parked straight but the steering wheel was locked and the key would not turn the ignition. I sprayed some wd40 inside and tapped the key a little bit with a household hammer still nothing. The gear shift will not move and the car was parked slightly up on a hill. I had the car towed to the dealership for a unrelated recall and while it was parked level I tried again still no luck. If I have the dealership fix it I am looking at paying anywhere between $400.00 to $700.00. I also need tie rods and I have a power steering fluid leak. Also, my service theft system light just started to come on, but does not always come on. I do not know if that has anything to do with it but I figured that I would disclose that information just in case it does have something to do with it. I do not know much about cars but can someone please help me out and tell me what I should do with having the dealership fix it be the last resort?