is this worth the price?

For $150 I'd say it is a good deal. For $200 it is a mediocre deal. In my area I have found better deals through the local craigslist listings for ipod touches. Of course you have a little more protection through ebay.

The "medical bills" sob story sets off alarm bells in my head. It may be legit but I've had bad experiences with folks who try to bring emotional hot buttons into sales. They have 100% feedback though, so you are probably fine.

The apple store has 4th gen 8gb for $229 including shipping. The 32gb is about $300.

Amazon has the 3rd gen 32gb used for $188 + $5 shipping.
 

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