Digital Video Cameras... but which one should I buy?

[Scavenger]

I've been looking at buying a videocamera, ostensiably for shooting reference footage for an animated short I've been doing, but in the future I'd like to do some green-screening and rotoscoping work with it (ala FMV games and early sierra games). I only want to buy one video camera, and my budget is around £300-400 ,  but I'm at a loss as to which one to get! I'm not a film tech expert and all of these brands astound me. Where do I even begin? I don't have time to trawl through several million reviews, as my coursework takes up pretty much all the time I have.

I need an SD card capable video camera, HD is preferable (widescreen necessary. I can live without full HD). This camera caught my eye:

DV Tape only cameras, unfortunately, are out of the question, as I need the SD card for the fast transfer of video from the camera to my PC. What considerations are there?
- Does interlaced footage mess up green screening?
- What's the best camera I can get for around my budget? As in, which gets the best picture in the worst lights, and records competently.


Do any of you nice film-directing-type-people know which camera I should be getting?

Thanks

[DoorKnobHandle]

Your biggest decision should be whether to go far a Camcorder or a DSLR (digital single lens reflex). Google "camcorder vs dslr" or something and you should find plenty of info. In a nutshell, with camcorders you mostly point and shoot, but photo functionality sucks. DLSRs (I would strongly suggest a Canon 550D which should be - almost - in your price range) are more complex, you'll have to learn the theory side of photography and work on it a bit but on the upside their visual quality is out of this world (camcorders only catch up in this respect in the 2000 euro and up department). Modern DSLRs are of course still made for photography but their movie mode is very, very capable. Check out this video made with the 550D if you need proof:

http://www.youtube.com/watch?v=Pco4OmpYSQo

[Anian]

Also, with DSLR, you can buy more lenses, so you can buy macro or a telephoto lens, and with the one you get in the kit (55mm I think, basic, all around use) you have a really wide variety of effects you can achieve.

[zabnat]

I would also go for a DSLR and also Canon is a pretty good brand on those.

[Chicky]

I can sure vouch for the 550D/T2i.  Note that you will want more glass once you've played around with the kit lens a bit, it's like crack.

[benny]

You can pick up a camcorder for cheap. The Flip is 100 quid for their nicest camcorder. It records in HD and stores 2 hours. It is by no means professional but you can pick one up for 50 quid if you wanted to and see if that meets your needs. DSLR is the way to go but you don't want to buy something you don't need and spend a ton of money on it(or maybe you do, I don't know you).  I can't vouch for a camcorder's green screen ability but it could probably take care of most of your needs for lots cheaper.