Have you tried pairing another phone to confirm your bluetooth module works?

Yes, it pairs with other phones no problem.

Well if it pairs with other phones then it sounds like a compatability issue with that particula phone.

Do you have any odd characters in the phonebook names? Long shot but my be worth looking at.

So apparently the Mytouch can only connect with hands-free headsets through Bluetooth. I guess I will just have to hope that someone figures out a way to fix this...

Well if it can only connect via bluetooth then it should be no problem?

I can only connect to hand-free headseats via Bluetooth. For some reason, it is not yet capable of connecting to other devices such as computers, other phones, or car stereos. It's pretty weird, but I guess I will just have to deal with it for the time being.

Hmmm, your right that is weird. The TCU is essentially a glorified headset, you would think it would work.

Have you tried borrowing are using someones bluetooth headset to see if issue is with your phone?

It may just be that your phone is incompatable with the TCU. That would suck.

well if it is the mytouch, i have a G1 and i had a wierd issues in connecting to my x5 through blue tooth till they updated the firmware, if urs is updated and still dosent connect you can hack the mytouch and enable superuser command and allows u to use the blue tooth to connect to any device without tmobile being anal about anything. if your thikning about it heres the mod CyanogenMod | Android Community Rom based on Donut tree. there are risks but iv done it and speed up my phone and enabled it to do alot. hope it helps