Distilled water is always an iffy thing ... if the bottler of the water has stored the water in any form of copper based tanks, the copper will leech into your aquarium and nuke any or all your inverts.
However, as an absolute last resort, it is definitely better than using tap water.
i use tap water ive tested it and all checks out fine even for the metals but i also condition it as well for the fact that the entire house water is fitered with a deionizer....so i guess its not really tap. lol at my work we give away RO water we only charge 89 cents a gallon for saltwater too lol.
" TOO CHEAP " is the red flag there..Some of us pay hundreds of dollers or pounds in my case to buy an RO unit...If you see a brand new one for $20, then i would probably say that it is no where near gonna be up to the standard of what is required to generate water for a marine tank...For example, a replacement set of filters alone cost more than the RO unit and Filters together....
Mine was around $200.00 for a 100gpd with tfc membrane and a tds meter. That was around 8 years ago. You can get a good one 35gpd tfc membrane for about $135. Maybe cheaper if you look around.
$20.00? That's pretty cheap. AtNixon is right about the filters. A set of filters for a 5 stage not including the membrane is about $25.00.
A coralife RO/DI unit was one of the first things i got, even before i could afford a tank. $290.00 It is the most important part of keeping a healthy saltwater tank.
here's a few samples http://www.aquacon.com/rosystems.html
Without one you will never win against algae, it will only get worse.
yes $20 bucks at the bargain outlet. there was a whole shipment of them that was mismarked. they were marked same as the sediment filters. none left when i got there. clerk says people were buyin 2 or 3 ata time. how come that stuff never happens to me??