I have a Lumia 920 and when i get new messages it doesn't recognize the person in my contact list.

For an example : I have a contact name James whose number is 7891234 but when i get a message from him, it doesn't display his name instead it displays his number with country code in it +9607891234. So i edited his number from contact list to include (+9607891234) country code and then checked the message and it displayed his name. But then there is another problem, if he calls me it doesn't display his name, instead it displays his number (7891234).