Hello there, BigEmma!
I have the same problem. I tried it twice to make sure I had not fat fingered something. Both times it wiped out everything, and reset to defaults. I even tried with a 2 gig mem card. Same issue. If you (or anyone) has a way to get into this thing (with BitPim or a similar product), please pass on the info!

A word of caution: On the Samsung Exclaim, BitPim is absolutly not compattible, Once connected, the program will recognize the phone and all custom settings, imported ringtones, photos, and imported wallpapers will be erased. The phone will be reset back to the factory defaults on everything. No harm done, but a lot of work lost.