So my game is going to consist of a system which I thought was new (Some nerdy friends made me aware it was used in some of the Final Fantasies, but I dont care) in which there is another language and the game will have books and signs with lore and that sort of thing in another language. As you level up you can advance your skill in speaking that language (thought about lowering prices from NPC's for higher skill) which will have the game translate different amount of the words depending on how much you know.
Anyways, I'm still designing the language. I currently speak English and German and know some basic Spanish. Anybody have any advice on it?

http://en.wikipedia.org/wiki/Constructed_language
http://en.wikibooks.org/wiki/Conlang

Thanks!

No problem, conlangs have been an interest of mine for almost a decade now. Also another gamedev member posted drawings of an invented alphabet in the art forum some time in the past few months, check that out if you are curious.

I think You should take a look at the lord of the rings. Tolkien invented elvish and language of Mordor. But what he did was very interesting ans useful - apart from language he created each culture and history. Described ther craft and art. I think it is a good starting point to see how to create the whole culture. I once had similar idea to Yours (i mean creating a language) and I used LOTR as my reference to see what there should be gathered to create the illusion of real society.