All your character progress, items, gil, achievments and gear are kept server side - the local game save file holds only your gear sets, crossbar settings and macros so worst case scenario you'd need to spend about 20 -30 minutes to re-set those but it should be worth it the comfort of having the saving working again. Also - as I've adviced above - if you copy out the game save file to USB prior removing / deleting it from PS3 you can always copy it back again so nothing will be lost. I'm on the same server BTW and will be online in about 2 hours so you can give me a shout in game if you still need some help (with this or anything else indeed) or just to let me know that you've managed to fix it