driving with over drive off good or bad...

If you don't care about miles per gallon, then drive around with your OD off.

If you are around town, driving in between the 35-45 mph range, then it doesn't hurt to keep your OD off to prevent the in and out of OD.
 
It's fine around town. It will hurt gas milege. Anytime your consistantly over 55 you should turn it on. It doesn't make the car any faster, it will just keep you in a lower gear putting you more into the powerband of the motor, and may not have to downshift.
 
Yeah, all it does is leave you in 3rd gear so you'll be burnin more fuel and using up more engine life(in the long run). It doesn't make your car faster or anything it's just there for towing purposes and such.
 
Scenario for you auto guys:

If I take my car out of OD, and I accelerate normally, sometimes the car acts like it was going to upshift into OD then it doesn't, there is a hesitation.

Now if I go about 1/4 throttle, the car won't do it, but less than that it seems to have a hesitation going into 3rd.

If I don't have OD on, the car won't do it.