So what's the hesitation? You are looking at a 6MP and a 7MP camera. 800 IS has wide angle of 28 mm.
Just remember to use flash indoors and IS only works on stationary subjects.
Critics of 800 IS say it has softer edge and has more noise on the image.
Check both reviews, and check out sample images:
http://www.dcresource.com/reviews/ca..._sd800-review/
http://www.dcresource.com/reviews/ca..._sd700-review/
Nikon D90, D80
Nikkor 16-85mm AF-S DX F/3.5-5.6G ED VR, Tamron SP AF 28-75mm F/2.8 XR Di LD Aspherical (IF) macro, Nikkor 50mm F/1.4D, Nikkor 50mm F/1.8D, Nikkor AF-S VR 70-300mm F/4.5-5.6G IF-ED, Sigma 105mm F/2.8 EX DG Macro ||| 2x SB800 | SB600 ||| Manfrotto 190XB