Anyone else have this problem?

Do I have one of them memory cards that need replacing?

V frustrating :(

Am I right in thinking its because most of the data is system files on the memory card and that the handset cannot read it?

Should I try reformatting through my usb card writer in FAT?

Any help greatly appreciated

Well, you can use your card writer to delete all files and folders (make sure you've enabled viewing hidden files in order to catch those, too).

I just went and reformatted it. Going to do a hard reset after and then Ill put just the stuff I want on the phone :)