I have a 2GB MicroSD Flash card I would like to use again but it will not format. I've had it for a while and files can still be read and written but the device can't be formatted due to Windows being unable to determine the amount of sectors. CHKDSK also doesn't work as the file system is apparently RAW. I think is has bad sectors but still works but I haven't used it to full capacity yet so I don't know the limit of it's functionality. Is there any application that I can use that will be able to format this and render it useable? Can tools used for hard disks be used for Flash memory? I can always buy a new one as there very cheap now but i'd be nice to just use this again if possible. I want to format it so it can be used in a Mobile media player.

"Can tools used for hard disks be used for Flash memory?" Yes

If as you say it has bad sectors, why not replace. These devices are cheap enough.

Should it fail, how important would the data loss involved be and do you have copies elsewhere.

If used to full capacity, I suspect you might starting having problems.

Have you tried defragging.

Good Luck - Keep us posted.

You not being able to format the card has nothing whatsoever to do with whether or not it has bad sectors on it or not.
There is nothing in what you said that indicates it does have bad sectors.

The card may be write protected, and you may need to remove that protection.

Windows doesn't recognize RAW partitions as valid. Some devices do, such as some cameras - if that's what you're using it for you can re-format it with the camera. You can't get Windows to format the card unless it is partitioned a way Windows understands - usually that's FAT32 or FAT for a flashcard.
You can delete the partition using XP, then partition the card FAT or FAT32, then format it no problem, but if you are using the card in something such as a camera that doesn't want FAT32 or FAT partitioning on the card, you won't be able to use it with the camera or whatever it is.