iPhone iPod letters that separate artists aren't working

[dEaFTOLiGhT]

My iPhone stopped sorting out artists/songs by letters. Now, if i use the scroll bar to go to a letter, it just goes back on top. And no matter where I am in my list, the top of the screen always says I'm at A. I've tried rebooting. Anyone know what's wrong? I couldn't find a setting. I included a screenshot as an example.

 

[Theskyisyours]

Same thing has happened to me. Just updated iPod with the 3.1.2 version and now I can't scroll down music/artists using the alphabet keys down the side. As poster above, it shows 'A' wherever I am on my music list. Exactly the same as the screenshot above.

Any ideas what's wrong with it and any fix? Tried rebooting and restarting but neither helped.

Any help appreciated
Cheers!