Ok, I'm a newbie also, but I have the Cannon A520 and I think it's a pretty nice camera. I bought it at 220, so it's a little higher than the other ones. It's a 4mp camera, but has more features that I understand, but I can use it on "Auto" mode until I learn new stuff. It has a 4X optical zoom (I don't trust digital zoom), and I think it's a great value.

I think that on most camera's, the internal memory (if any) is just insufficient for the image sizes. Just consider buying an extra memory card.