When I finally upgraded to a good camera several years ago, I did a lot of research and went with a Canon Rebel xsi, which was one of Consumer Reports' picks at the time. I paid about $600. The camera is still quite a bit smarter than I am, but I love the photos I get with it. Strongly recommend it or one of the newer ones in the Rebel series.
Edit: I took my profile pic over there on the left with it.