I use my USB thumb drive a lot - it's great for backing up your files, transferring files from work to home, or uni to home. These days you there is a large selection of thumb drives with storage capacity of 0.5GB up to 4GB available quite cheaply.
One great idea I've seen is to get one with laser engraving of your name on it in case it gets lost. At the moment Pexagontech.com has 1GB Thumb Drives (in any one of five cool colours) for $20.99 with FREE laser engraving, & 2GB Thumb Drives (any color) for $38.99 with FREE laser engraving. They also offer a service called “myDrive LOST-N-FOUND” where they will engrave your drive with a unique product identification number and store your contact information on their secure database. If your drive gets lost their website has a short form where the finder can enter the unique product identification number, be entitled to a reward and Pexagontech.com will arrange to have the drive returned to you, free of charge!