default group for new contacts not behaving? NE1 else?

[vwDavid]

I have two contact groups plus ALL. iTunes default set to put new contacts into one of the sub groups, but it doesn't. New contacts created on the phone appear only in all contacts and only get moved to my contacts after the next sync.

Does it behave like this for anyone else? If its a glitch are there any fixes?

thanks

 

[vwDavid]

no one having this sort of problem?