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File formats
There are three types of digital camera file formats:
The most commonly used format, JPEG, is often the only one available on entry-level and some intermediate digicams. Not to worry, the format is perfectly fine for the vast majority of digital camera users, particularly when the camera is set at the highest JPEG quality setting.
Many higher-end digital cameras let you select between JPEG, TIFF and RAW. Professional photographers and serious photo-enthusiasts usually prefer to shot RAW.
Some advanced cameras have a setting to simultaneously shoot RAW + JPEG. Both formats will be saved to a memory card as separate files.

