Erase all contents and settings

Does it free up your storage space?

Probably not.

hi , i just reset my iphone to the fabric reset option, but i had a few contacts blocked and i would like to know if those numbers will remain blocket ? i hope so please can u tell me

thank you

I understand that part but I don't remember my pass code. so what should I do

I don't recall the pass code that I original set up the phone. I have change pass code so many times.

Does it erase contacts and pictures?

"Erase All Content and Settings" does exactly as it states, so yes contacts and pictures are permanently erased.