Anytime you rip someone else's feeds you take the chance they will get pissed and report you to Google. If you're using Adsense, this can result in the ban of your Adsense account in addition to being banned from the SERPs. Not a desirable situation. I've always advocated that n00bies shouldn't mess with autoblogs. There's too many things that can get you in trouble. If you really want to, just keep in mind the risks and don't run them for more than a month or so. Also, don't use them as a means to make money, they can do that but not in the direct way that so many people want. My autoblogs rarely made more than $3 per day per blog. But I was using them to gain massive backlinks, which they do quite well. One blog I had up for about a month, topped out around 18,000 backlinks (according to Yahoo!), and still has over 5,000 today (I believe. Haven't checked in months).
But you were'nt asking about autoblogging, were you?
If you're going to use RSS to bolster your blog, that's great, put them on their own page as "News" or use a
RSS scroller