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Default folder is "ppsspp\memstick\PSP\Cheats" which apparently you are using already, but from last official release PPSSPP does check if it actually can write the files to it's directory and if not it behaves differently - refer to this thread which clears all of this extra confusion. So pretty much the reason why you don't see any cheats is most likely caused by PPSSPP looking for the cheats in different folder. Even an empty cheat title ~ "_C0 *something*" should show as a cheat on the list even if it wouldn't have any actual code.
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(example: If Joe has 4 lv of "kizuna" with Matt or Tai and use the code, Vikemon evolution will remain The extra lines like "_S." and "_G." on the ppsspp side are only usefull for importing cheats from cheat.db, so your problem was certainly not caused at all by wrong formatting inside the file. **Bond Max 7 does not help to unlock the rest of the Mega evolutions.
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