Dysfunctional Rules IX: 1d3 Dysfunctions from the 8th Level List

[Catarang]

This may have been mentioned and shot down before, but I'm just gonna flag it for consideration to see the thought processes of other people.

The Versatile Spellcaster Feat from Races of Dragon:

Spoiler: Versatile Spellcaster

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Versatile Spellcaster [General]
You can use two lower-level spell slots to cast a spell one level higher.

Prerequisite:
Ability to spontaneously cast spells

Benefit:
You can use two spell slots of the same level to cast a spell you know that is one level higher. For example, a sorcerer with this feat can expend two 2nd-level spell slots to cast any 3rd-level spell he knows.

So RAI is, take this feat and a Sorceror or some other spontaneous spellcaster losses 2 spell slots from his own spells known list to cast a spell of one level higher that he knows. But what if you're multiclassed between 2 spontaneous casting classes? Should a Sorc/Favored Soul be able to sacrifice a spell from each of his level 2 spells known lists to cast one spell from either of his level 3 lists?

Also, I would like to know what other people think of this feat allowing a level 9 wizard/level 1 sorcerer to spontaneously lose memorized wizard spells to cast higher level wizard spells. I expect this isn't possible due to there being a difference between memorized and known spells, but the PHB says "unlike a bard or sorcerer, a wizard may know any number of spells..." (pg. 57 top left corner). I can also see a discrepancy with burning memorized spell slots, saying that you don't have that spell slot anymore until you sleep and get it back because you spent it to memorize a spell. But what if I voluntarily decide not to memorize spells, could I then use this feat to cast any of my spells known at will as long as I wanted to burn unused spell slots?