Damn, first 8330 person to start complaining about memory... and this phone has 96MB. Wow, you'd have had major issues with any other Blackberry that only comes with 64MB.
You cannot store contacts on your memory card. Only media goes on the card. (i.e. music, ringtones, pics, videos)
Uninstall all the things you don't use on the Curve first. Other languages, demo video, etc. Go from there.