I would never say hosts dont do that because they do. The error as you describe it suggests that there is an issue using Imagemagick so if you want to continue using it you would need to fix the server.
As far as a blank page using GD2 thats easy. GD2 is part of PHP and as such is prone to PHP restrictions. The blank page is because PHP is shut down on the server because GD2 stole all of PHP's memory. Your fix for that is altering the servers php.ini file and increasing the memory_limit or adding an ini_set line in the script like so
Upload and then things go blank