Girlfriend has a MyTouch and wants my help

Her phone has noticeably slowed in the last few weeks (I have no idea what kind of crap she's put on the thing), and I've been asked to figure out what's wrong with it. I know a decent amount about computers and about blackberries, but this is my first up-close contact with an Android phone.

Things I know:
- She's on OS 1.6
- She has downloaded a number of icon packs and other cosmetic changes (all from marketplace)
- This is her first smartphone
- She had an app called 'Better Cut' on her phone, and she thinks that may have done damage to her OS.

Things I would like to know:
- Is there a knowledge base on AC where I can look up how to wipe/reinstall her phone?
- Does wiping/reinstalling do anything to android phones? Is that possible?
- What resources/blogs/forums are a good place to start learning about the Android OS and the mytouch?


Thanks

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