When a paladin gets to low a reputation, he becomes a "fallen paladin".
What exactly does that mean, and what affects does this have on the character?

You lose all of your innate abilities. So, it's bad... VERY BAD.
RECCOMEND THAT YOU RELOAD!

Basiclly an evil paladin, there is also an antipaladin, but I dont know what the diffrance is. There is an awsome sowrd (unholy reaver) useably only by antipaladins however.

Well if what Skunk says is true, which I don't doubt, the difference between a fallen paladin and a anti-paladin is that the anti-paladin gets to have skills (don't remember what they are excatcly, but anyway) and the fallen paladin loose all of them.
At least that's how I understood it

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I saw the movie, but I didn't think the action scenes were THAT good.

I "fallen paladin" is a paladin that doesn't deserve his class and lost it.

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Where there are monsters and barbarians there will be Byronas fighting against them.

an anti-paladin is like a paladin except holding the opposite values. prsumably hed become a fallen anti-paladin if he got a good rep. the only ones ive encountered were githyanki.

i dont have the soul reaver anymore but i think its usuable by any evil creatures?

and also if i remember correctly, dosent a fallen paladin die if your difficulty level is normal or above?

yep, soul reaver is useable by any evil character. I had Sarevok wield it in ToB