OK, so first off, the description of the stat increase may be incorrect. You used to get 5 points to distribute but now it's a flat +1 to all stats, so no worries about choosing, however increasing stats does not raise your skills nor your aptitude for them - that's set by you beginning stats alone.
The stat effects in game that I can think of: eyesight improves your ability to spot animals on the over map an things like that, hearing increases the distance one can hear animals running away, endurance is a big one - your encumbrance is determined weight carried divided by half your endurance. In addition, every time you take a hard hit, there is a chance to go unconscious determined by the severity of the hit and it's location vs your endurance. Dexterity determines if you drop something when struck in the arm or hand, agility determines whether you fall after being struck in the leg or foot (assuming it's not a disabling strike). Speed determines how fast you travel - useful for hunting game. Will determines whether you can stay awake when drop dead tired.
This is off the top of my head. There are probably more. My basic thoughts are that skills can be raised and spells can be learned during play, but attributes can only go up by finishing courses and so I always choose them over the other options.
- Shane