I updated my 8900's software to OS 5. I am still not able to receive anything via bluetooth.

It still gives me the same message on the device I am trying to send from to my BB : Please make sure the other device is within range and bluetooth is on.

I went on to setup and it is like that:

discoverable: yes
allow outgoing calls: always
contact transfers: all entries
led connection indicator: on
security level: high
connect on power: yes


Or do I need memory card to receive files? I have ordered it, hopefully it will arrive on monday...

possibly, however, are you going to media - menu - receive using bluetooth?
You must do this to allow the phone to receive via bluetooth.