Question : How to upgrade Wordpress from 2.6.3 to 2.7.1

Before I upgrade my wordpress blog from ver 2.6.3 to ver 2.7.1, I would like to know what problems I will face or... does it go smoothly.  Are there any special things I should do before I attempt to upgrade, like backup the database, and ...?  I would like to hear from someone who has done this software upgrade themselves.

Dosth can you help?

Answer : How to upgrade Wordpress from 2.6.3 to 2.7.1

You always need to backup your database & files before an upgrade.
How to backup database: http://codex.wordpress.org/Backing_Up_Your_Database
Also there is a nice plugin that will help you with the database backup: http://wordpress.org/extend/plugins/wp-dbmanager/

How to backup your files: Just use a FTP program (like filezilla) to download them from your server.

On the topic of 2.7. I love it. The admin dashboard has tons of features. Plugins can be installed without having to upload the plugin to your server. Plus there a security benefits to upgrading.

You shouldn't lose any cats or permalinks.