Certain features send me back to home screen

So today I upgraded my 4GB iPhone to the 8GB and much to my dismay... I ave discovered that when try to change the wallpaper, instead of sending me to choose the wallpaper, it goes back to the home screen. Same goes for the camera AND photos.
What gives? is this an issue with my particular phone having something wrong with it? or perhaps someone has some ideas?
I already tried restarting the phone and restoring to factory settings... neither worked.

This is happening to me too but only when im rethrieving huge email and once in a while when im browsing in the internet. after bringing me to the main menu when go back to email or website where i was before the page still there. its not bothering that much. probably this in only memory issue.

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