I have a Nikon d40 and I love it. I haven't had any issues with it. I've dropped it [just the body] on concrete and had no problem, just a tiny scratch. [And you know me, so you know I pretty much shit my pants when that happened.] I got mine for like, $500ish, give or take. I also bought a memory card with it and all. I have the basic lens it came with and a month or so after I bought the 55-200mm lens. I want to invest in a remote, tripod [so I can get rid of my ghetto ass pile of movies/DS games 'tripod], and a macro lens at some point.
The only issue I had was that the battery charger it came with just quit working so I had to buy a new one. And I actually like the new charger better than the first. Also in my smaller lens there is a piece of dirt or something trapped in it so I'm going to have to take it somewhere and see if they can get it out since I've had no luck at all.