Okay, an example: I've got 3 Michaels and 2 Micheles in my contacts.

Regardless of whether I'm using stock SMS or Handcent or anything else, start a new text message, tap the recipient field, and type "mich" (with Swype or stock keyboard, doesn't matter) and the suggestions are "El Dorado Irrigation District" and "Elizabeth Auto Repair" -- neither of which have anything to do with any of the Michaels or Michelles in my phonebook. Likewise, if I type "eliz" it doesn't show me "Elizabeth Auto Repair."

HOWEVER, if I tap the + next to the contact field and when it shows all contacts type "Mich" it shows me the right people. And not El Dorado Irrigation District or Elizabeth Auto Repair.

What I discovered is that MICH=6424 and that numerical sequence appears in the phone numbers of the two contacts suggested.

Anyone else seeing this? Figure out how to correct it?