Hi Danielle,
I just bought a 350D (Friday just gone), and agonised over the options of a 300D, 350D, D20, and also the Nikon D70 for me too as I don't have any Canon lenses.
For me it pretty much came down to a choice between the 350D and 20D. The 300D is cheaper than the 350D, but not by much. I think it is worth the extra $100 difference between them for the extra 2 megapixels, much faster operation, better image quality, DigicII processor, "unlocked" features from the factory, and few other differences between them.
The D20 is a better camera again than the 350D. Same resolution, but better image quality, build quality, features, autofocus, and operation speed. But this time, the price jump is a lot more (supposedly almost $1000!).
For me, I couldn't justify that price jump in a camera that will become obsolete in the foreseeable future. I am satisfied the 350D is more than adequate for my needs at the moment, and put the $$$ difference into a cheap L-series lens (which won't become obsolete when the camera is).
All Canon EF lenses are interchangable between their Film and Digital SLR's, so any lens you have for a Canon EOS camera *will* work on any new Canon camera (basically any Canon lens made since the mid 80's I think).
In addition to that, Canon have now released a few EF-S lenses which *only* work on the 300D, 350D and D20 (and probably future DSLR's). These new lenses protrude slightly further into the camera than the normal EF lenses, so will not physically fit ANY Canon film SLR (and even their other Digital SLR's at the moment). The kit lens that comes with the 300D, 350D and D20 is one of these EF-S lenses, which means that you can't use this lens on any Canon film SLR you might have. They did this so that they could make affordable wide-angle lenses for their DSLR's which have a 1.6 crop factor.
For what its worth, the Canon RRP's of these cameras with 18-55mm kit lens are
below:
20D - $2899
350D - $1899
300D - $1799
Note that you should be able to buy these cameras for significantly less than these prices. I paid $1689 for my 350D, and have seen prices as low as $1285 for a 300D, $1469 for a 350D (which I ordered but would take too long to get stock in), and $2469 for the 20D.
A couple of links worth checking:
http://www.digitalcity.net.au/store/brow...9&brand=21
http://www.centre.net.au/Canon_000642.html
Note also the 20D and 300D "enthusiast kits".. The 300D kit from digitalcity comes with a CF card and EF 55-200 USM lens in addition to the EF-S 18-55 kit lens for $1649, and the 20D one comes with the gorgeous EF-S 17-85 USM IS lens instead of the EF-S 18-55. I was particularly interested in the 20D enthusiast kit, as that EF-S 17-85 lens with Image Stabilisation is supposed to be really nice and the price was only $2799 from centre.net.au (the lens retails for $1099 alone on the Canon website). But remember it is an "EF-S" lens, which means you would have a $1000 lens you can't use on your film cameras :o
Hope that helps!
Cheers
Adrian