I was looking around trying to find another source for some embroidered designs. I ran across a pretty neat site. They don't have a wide range but I sure like the style of the designs she has at Planet Applique. Warning they are very cutsie and childish for the most part but heck that is right up my alley.
The proof is really in how well they stitch out. So I will have to give you a full review in a couple of days. Reasonably priced. $1.50 for most designs, a few free ones on the site, more free ones given with a purchase. Coupon code right at checkout for money off. Alphabet applique sets for $8. I hope the quality is as good as it looks.