The problem with shitty localizing is that people react the only other way to do it is just straight translations, which isn't the way to do things. This results in honorifics being used everywhere (it can't just be Mr. Xarpho, it has to Xarpho-san) and lengthy translator's notes.
One of the best localizations is actually the SNES EarthBound. You can say that there's censorship since Ness is in his pajamas in Magicant instead of in the nude, but it makes a little more sense in the Japanese version since nudity represents innocence.
The question about the Beatles song in Onett ("OK, pop quiz! 'A Beatles song, XXXterday.' Can you fill in the blanks?") with your options being YES or NO in Onett was good because it was a good pun and worked with Itoi's love of Beatles music. In the Japanese version it was a question about Heidi, Girl of the Alps and still was a Yes/No pun.
In Super Mario RPG, most of the
Psychopath thoughts were changed. A lot of them weren't well localized but you could see why they needed to be changed.
The crab, Crusty, says "To~re tore pi~chi pichi", which roughly translates to, according to Tomato, as "fresh-caught and lively" but it's a reference to a seafood restaurant chain in Japan's commercials.
If Super Mario RPG was released just a few years later, it would've actually made
sense to do something like a SpongeBob reference instead.