That seems like a pretty good deal. And I'm gonna guess you're not form the US. Therefore, you won't be able to buy from newegg.com anyways.(they don't ship internationally. I live in Canada and I can't get it, grrr...) What kind of hard drive do you have? And what kind of work you going to be doing with your comp. If it's just playing computer games, then the hard drive shouldn't really affect you, unless you're playing off your hard drive. And yes for the most part the R8500 beats the GF3 Ti500 and the Ti500 is about $40 more expensive. Now what would be the point in that? Oh yeah almost forgot to ask, we're talking $US right?
I think you said that your RAM is probably SDRAM right? That could kinda keep your system performance down quite a bit. If you're willing to do a bit of an upgrade, I'd suggest: (I'll use prices from newegg.com as a reference)
1. 256MB Samsung PC2700 - $80US
2. Gigabyte GA-7VRX, VIA KT333 5P1A3D - $96
For a total of $176US. You could just move everything onto this mobo. Some stores here will buy computer components back, so you could see if you have anything where you live. Just sell your RAM and mobo.
My firewall tastes like burning.