Okay, your MacBook7,1 is officially known as a MacBook Mid 2010 in Apple speak.
It can be upgraded to 16 Gigs of RAM. 2 Gigs is the minimum required amount, 4-8 Gigs would be the sweet spot, but 16 Gigs is obtainable for reasonable prices, so why stop at 4-8.
As Eric has pointed out, OWC would be one of the best sources for the RAM and they offer DIY videos for their installation.
http://eshop.macsales.com/shop/memory/Apple_MacBook_MacBook_Pro/Upgrade/DDR3_Whi te
Older PowerPC based apps won't be supported, for most people that means, AppleWorks, Microsoft Office 2004 (or earlier), and Adobe CS2 apps (or earlier).
You should make a full backup of your current drive before proceeding, becuase you can't uninstall an OS X version, and because, if you don't have one, you've been living dangerously. I would recommend backing up to an external drive with a cloning software, i.e., CarbobCopy Cloner or SuperDuper, as this kind of backup is bootable. This means that you could boot from the external drive, unlike a TimeMachine backup.
There were major improvements to OS X, that started with the introduction of Mavericks, with memory management, that in my eyes, make every version of OS X from Mavericks onward, clearly superior to Snow Leopard.
Good luck.