Now, I know it can hold saves and files for pretty much any region, but lets say I have US saves already on it and I want to save a PAL game on it. Would it be fine? I know memory sticks are different from standard memory cards, but I want to double check before I buy any PAL PSP games.
The memory stick is a flat out normal Sony Memory Stick Duo. There is no region specifics. The games are saved in the SaveData folder under their product code. Each game has a uniq product code (including the same game of different regions). Usualy a save folder (for example ridge racers j) would be ms0:/psp/savedata/ULJS00001000/... The premiss is the first 4 letters are region ULJS = Japan, ULUS = USA. The next 5 numbers are the product ocde. After that games tend to put the user name or just 4 zeros after it.