I found the fix for this. I first updated my Iphone but that didn't work. I then searched around the internet and found a guy who had the same problem as me, and found the solution by accident. Anyway, when installing the system, I didn't hook up the parking sensor wire (green wire). I just assumed that this wire was there to limit some of the functions of the system to only respond while in park. Well, it turns out that this wire has to be grounded for the phonebook to download! Makes no sense to me, but whatever. Luckly, I bound up this wire (just in case I needed it) out by the shifter... 6 inches from my grounding bolt. So, 5 minute fix and voilla! Phonebook now downloads.
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