What is the difference between balanced and unbalanced?
Balanced connections, with 3-pin XLR terminals, are commonly used for live audio and in recording studios for microphones with long cables. Long cables (30 feet or more) carrying microphone voltage (1-3 mV, see below) signals can pick up noise induced by electromagnetic interference (EMI) or radio frequency interference (RFI). Balanced connections along with the differential circuits required on the electronic gear can cancel out this noise. Read about it here:
http://en.wikipedia.org/wiki/Balanced_audio.
Because of that, pro audio and recording studios long ago chose balanced connectors for all uses, to avoid confusion between multiple balanced and unbalanced cables.
It seems that balanced connections, with 3-pin XLR terminals, have become fashionable for home audio preamp-to-amp connections, and many examples feature these as a sought-after feature, usually at higher prices. The voltage levels between preamps and amps are much higher than microphone level, roughly in the range of 0.1 to 5.0 volts (100 to 5,000 mV). So it is likely that interconnects at this level are less prone to EMI induced noise, especially if they are less than 30 feet long. I think that standard unbalanced RCA interconnects between a preamp and amp are fine, unless you have an unusually noisy environment with high levels of EMI. Unfortunately, audiophiles who have may have money to burn and are interested in following fashion, are rarely convinced by practical arguments.