Where is the best price to purchase a canon rebel xt digital camera?

I think it's hard to beat either bhphotovideo.com or buydig, both have good prices and exceptional customer services. You can probably buy from cheaper, but they might be grey market from dealers that have questionable history.

The XT is 959 at B&H and 846 at Buydig.

Another good place to is to check fatwallet.com, they have list good deals for cameras. If you subscribe to forums with the keyword Canon (or even Rebel XT) then you will receive an email everytime somebody makes a post regarding your keyword.

Go to http://www.pricewatch.com to compare prices.