Motorola V500 / V525 / V505

I'm confused. I just got the V505 on the ATT wireless...Amazon - rebates etc give you a whopping $150 BACK! BUT, I assumed that voice dial was a feature of the phone. But when I attempt to record a name

Phonebook
Select a name
View
Voice Name
Record
Press Voice Key and then say name
I press the button on the right side of the phone and get NOTHING...It does not record.
Only option is CANCEL.

I called ATT- now Cingular today and was told that my plan - ATT National Rate $39.99 - does not include Voice Dial and I have to subscribe to their Voice Dial service for $3.99 a month.

My previous 3 phones have all had voice dial on the phone and did not require this.

Is anybody actually using the voice dial on the phone with an ATT plan. Are they selling this phone without the voice dial enabled so we have to pay for it?

Also...Cingular told me that to convert my plan from ATT to Cingular I will have to buy a new phone. She said their GSM sim cards do not work with ATT GSM sim cards. Does anyone know if this is true also?