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of course you can use the databases of your webhost
but there are many points you shouldnt...
1. limited size
2. sometimes its localhost means it cannot be accessed from out
3. something i forgot
4. there is no 4
yeh i think george is right. maybe a couple of more things but i think that you shouldnt. however, if u have a paid host which doesnt give you limitations etc i dont think you will experience any problems