My cousin owns this phone and at first it looked and worked good. Everything was working fine with no lags. But after installing some applications the phone starts to show its real face.
The processor it ships with is a 1 GHz Cortex-A5 Qualcomm MSM7227A Snapdragon. The main problem is not due to the phone getting out of memory,rather due to a low end processor on board combined with the laggy touchwiz user interface. One of the issues he faced is sometimes when an incoming call comes,sound is heard,but the screen goes unresponsive and you cant take the call.
It lags a lot during multi tasking too.Launching apps can sometimes take ages.The camera quality is not that good.
This is not a value for money product for sure.
You can get better performing quad-core devices for this price range with 1 GB ram,better GPU,camera and battery.