RAM issues with my Old Laptop... Any help?

I would have advised you to increase the RAM but if the technician has already told you that is not possible, then it probably isn't. It may be that the motherboard isn't capable of addressing more than 2GB or that 4GB modules suitable for your PC aren't available. It's worth checking with a technician again to see whether you can add more RAM and if not, why not. Even if you can't expand the RAM, there may be a few things which you can do. One would be make the space available for Virtual RAM larger. Virtual RAM is a space reserved by Windows on the hard disk which it can use to store data which is loaded into RAM but is not currently in use. This frees up space in RAM so that the current program can actually run but, especially with programs like Photoshop and video editors which are dealing with very large temporary files, will slow the PC almost to a standstill while Windows keeps swapping data in and out between RAM and the Virtual RAM space on the hard disk. In order to increase the Virtual RAM space, you must, of course, have enough contiguous space on your hard disk. This means that you should first free up as much space as you can by deleting unwanted files (especially temporary files) and, if possible, by moving any data files (photos, videos &c.) you are no longer using to an external drive, USB drive or CD. Then you should defragment the hard disk so that the free space is contiguous. Once you have done this, you can set the size that Windows allows for Virtual Memory to the maximum recommended. Since I see that the error message is generated by VersionCue ULDLL, which is part of the Photoshop CS3 package, it is possible that part, at least, of the problem lies with this. It is worth checking that it is properly installed and updated and you may find this page useful:

Sold this old laptop and buy a new one

have you change your id ..thats better ..