A lot of people have been having trouble with the Contacts application in iPhone 2.0 on both first-gen and 3G models. And though lag has been reported throughout much of the iPhone, it is especially apparent in Contacts.

But there is a quick fix until this bug is addressed. You can use the Google app to access your contacts. If you need to search for a contact, this is especially helpful, as the search function in the Apple Contacts gets rather sluggish after awhile. 

So, once you install the Google app, all you have to do is search for a contact and you'll get results much faster than searching or scrolling through your standard Contacts list. This isn't a permanent solution, but it will certainly be helpful in the meantime. 

[via iPhone Atlas]