hey there Johnson,
you will need 3 folders within (Data) called CARS, another called SKINS and another called CAR FONTS. Inside the CARS folder you will place your new chassis e.g. (GenIII)etc. The chassis will be made up of several folders within called (data, misc, a De2, shadow etc).
Inside the SKINS folder you will place your new Skin e.g.(VLR-22RastasRacing)which has inside of that 2 folders One is called a skin file (Will open in Notepad for editing purposes) and a yellow folder named textures. Make sure it's a DTR2 skin you have downloaded, (You'll be lucky to find many) because if it's not and maybe it's a DTR1, Leadfoot etc, then the texture folder within textures will simply have on it texture which then will require you to type 256texture in order of it to work, assuming that the skin folder is able to accept the chassis otherwise the game won't work. But generally they come with 2 folders. One is a 256texture and the other 512texture.
Now the third folder within Data has to be named CAR FONTS and must have 2 folders placed within, one named v and the other byb. Each of these will have a single folder within named after itself. Both are psp type folders and titled x and byb. Without these, nothing will show up in game.
I hope i have explained things clearly to you and not confused you in anyway. Hopefully you will be up and racing soon.
The CAR FONTS folder can be downloaded from BH Motorsports site. I don't believe we have it on ours. Any troubles, let us know. I can email you that particular folder or send you three starter folders to get you going. Let us know.
Paul D kiwi