Would really love to help you find free applications for your iPod touch, but I'm not sure if it is allowed to post the links here. One way you can do so (which is really easy in fact) is what ndkpromotions said - Google it. If you don't want to risk your Touch getting haywired or compromise then it would be best to check out Apple store. There are free applications there which though not really cool, might help improve your iTouch experience.
With that said, i also prefer to use the iPhone these days as it is easy to carry one than several devices which can be bothersome and might not fit my small purse