How to use alphabets on keypad in Phone App? - Samsung Galaxy 3 I5801 When I select Phone app and go to keypad tab, on keys I see alphabets besides each number key. How to use them? 

I suppose it should find a contact already in my contacts. When I type key 7 twice it types two 7s and it doesn't show any contact starting from Q.

Note: I've upgraded to Froyo using steps mentioned at  http://theandroidfans.blogspot.com/2011/01/how-to-install-android-22-froyo-latest.html
As far as I can tell, you can't : press the 7, and it will show ( on my Galaxy S ) the first phone number with a 7 , next to that field is a downwards arrow.

Pressing that arrow will display a popup selection, with at the top the same number already selected ( the first with a 7 ), and underneath the first contact starting with a P - scrolling down shows all contact up to and including contacts with an S.

But if you want a contact, why not use the Contacts tab, you can search there and to the right of my screen is the complete alphabet. Pressing one of these letters, will jump to the first contact name starting with that letter.