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Clothing glitch
From The re-PSUPedia
The clothing glitch was a type of network delay (lag) dependent race condition where a character can wear a combination of clothing that wouldn't be allowed otherwise. (e.g. Swimsuit with pants, etc.) This was promptly fixed in the next patch on January 19, 2007.
Part of the problem was that once successfully done, one could 'borrow' clothes to change the look of their character, instead of buying them, which could lead to an unstable economy. Also, one would not have to carry any clothes on them, freeing 1-3 slots in the inventory.