Can you put a pay as you go sim in a bill pay phone?

Question

I bought my brothers iphone and while he was a bill pay customer iam a pay as you go customer with the same carrier. so i thought i could just but my sim in his phone and use it. Im now having trouble sending and recieving calls. I can sometimes make a call but nobody can call me. I can send and recieve text messages fine. I have a good signal and the phone says its connected to the carrier. Can any one tell me if the problem im having is because the phone was a bill pay phone or is it that the phone is just broke. Also i would just like to include that the phone seemed fine for the first few days i only started having this problem when the battery went completly dead during the night and turned off and when i charged it back up i started having problems. Ive tried reseting the phone setting it back up as new phone but still i have this problem. Any help on this would be greatly appreciated. see below for the error i get when i make a phone call. Means nothing to me but maybe someone on here will understand it
Jun  3 21:09:54 unknown SpringBoard[68] <Notice>: MultitouchHID: detection mode: 0->1
Jun  3 21:09:54 unknown CommCenter[17] <Notice>: No more assertions for PDP context 0.  Returning it back to normal.
Jun  3 21:09:54 unknown CommCenter[17] <Notice>: Scheduling PDP tear down timer for (360446994.217340) (current time == 360446994.220307)
Jun  3 21:09:55 unknown apsd[59] <Warning>: <APSCourier: 0xce41fa0>: Stream error occurred for <APSTCPStream: 0x14e580>: Error Domain=NSPOSIXErrorDomain Code=57 "The operation couldn-t -b-e -c-o-m-p-l-e-t-e-d-. -S-o-c-k-e-t -i-s -n-o-t -c-o-n-n-e-c-t-e-d-" -U-s-e-r-I-n-f-o-=-0-x-1-4-4-3-f-0 -{-}
Jun  3 21:09:55 unknown configd[14] <Notice>: network configuration changed.
Jun  3 21:09:57 unknown SpringBoard[68] <Notice>: MultitouchHID: detection mode: 1->0
Jun  3 21:09:57 unknown CommCenter[17] <Notice>: Client [com.apple.persistentconnection[apsd,59]] is telling PDP context 0 to go active.
Jun  3 21:10:02 unknown CommCenter[17] <Error>: kPdpContextStateChangeNotification kActive set last_auto_trigger_failed to false
Jun  3 21:10:02 unknown CommCenter[17] <Error>: _ReInitThrottleTimer(): Clearing throttle timer on context ID [0] at 360447002.107012
Jun  3 21:10:02 unknown configd[14] <Notice>: network configuration changed.
Jun  3 21:10:02 unknown CommCenter[17] <Notice>: No more assertions for PDP context 0.  Returning it back to normal.
Jun  3 21:10:02 unknown CommCenter[17] <Notice>: Scheduling PDP tear down timer for (360447302.176918) (current time == 360447002.176929)
Jun  3 21:10:02 unknown CommCenter[17] <Notice>: Client [com.apple.persistentconnection[apsd,59]] is telling PDP context 0 to go active.
Jun  3 21:10:57 unknown SpringBoard[68] <Notice>: Posting 'com.apple.iokit.hid.displayStatus' notifyState=0
Jun  3 21:10:57 unknown SpringBoard[68] <Notice>: MultitouchHID: detection mode: 0->255
Jun  3 21:10:57 unknown UserEventAgent[12] <Warning>: DEBUG: Changing screen blanked state: 1
Jun  3 21:11:02 unknown wifid[29] <Error>: WiFi:[360447062.118957]: Disable WoW requested by "apsd"

Answer 1

Is the phone carrier locked? If so, to what carrier is it locked?
Was the phone "unlocked"? If so, was it unlocked by the carrier it was originally locked to or by using some other method?
What carrier are you trying to use?
Are they on this list: http://support.apple.com/kb/ht1937
If so, ask them.
If not, you'll have to work it out with the carrier.