Ok...you might think im a complete retard, but im about to download the compressorizer redux from DJS sims, obviously to compressed my sims 3 downloads and save space on my laptop. However, I noticed that in the image that is used to demonstrate how this program works, it shows that this person was compressing backup files. If I compress downloads from the normal places will it spazz my game up because sims won’t be able to read a compressed file or will it be fine??

Or is their certain file’s you can and cannot compress? I have both .sims3pack files (in my documents/electronic arts/sims 3/downloads) and .package files (in program files/electronic arts/sims 3/mods)

I haven't tried compressing Sims3 active files, but I do compress other programs I run. It does slow access a bit, which really isn't an issue for things like word processors, mapping programs and such. For TS3, since downloads are not the installed files the game uses during play, I don't see a problem, though if you go to delete or reinstall from them, it may take a moment longer. Personally, I don't leave things on my primary drive in Downloads for TS3 or any program, I move them to one of my other drives which are compressed drives as they are storage and seldom used programs.

I had a few files go slightly wonky when Compressorized. Tried it a couple weeks ago and while 99% of my stuff worked okay, a handful of files went weird and the game was reading them over and over, which can cause slowdown.

My advice: back up your files first (make a copy), compress them, then test. Use Process Monitor to check whether anything's getting stuck reading over and over (info on it can be found under the Package File Lag FAQ, found in the Custom Content FAQs area under Help) and if so, remove those files and use the non-compressed versions.