A childhood belief about characters

I was brought up Catholic and attended Catechism when I was very young. Anyway, when I was about six or seven years old our teacher told us that we always had to be good because God was EVERYWHERE watching us. She said it in that ominous tone of voice that grown-ups use when they're trying to drive a point home.
This terrified me. I had visions of God watching me go to the bathroom, getting dressed, taking a shower, etc. I decided I was going to have to start hiding from him so I started changing my clothes in my closet. One day my mom caught me and asked me what I was doing and when I explained to her what I was told she told me, "God saw you naked when you were first born, He doesn't care. Now come out of there and get dressed." After that, I didn't have a problem. Of course, now I'm a grown up and I have since stopped believing in the Catholic Church and I'm on the fence about God.