Onus march,
I'm a professor of English at a Big 12 school; my field is basically American literature after 1900. I completed my PhD in 2004 at UC Irvine. This doesn't mean I'm going to proofread my post. Don't count off for grammar or spellin'. And before I offer my response to your question, Onus march, let me say that you should probably pay special attention to the poster "Alain Badiou". In literary theory, that's a hefty identity to assume these days. To play at being Badiou at letsrun.com is like announcing you're Haile G. to a blog at the Chronicle of Higher Education.
Cornell is the most competitive and accomplished school on your list. The program admits a very small number of students each year for the MA/PhD. They almost certainly fund everyone they admit, though admission packages may have different mixes of fellowships and teaching assignments. The people I work with who earned PhDs at Cornell are delighted with their educations.
I'm pretty confident Cornell doesn't run the kind of unconscionable, expensive terminal MA you can find at some institutions. Another poster mentioned those programs, and s/he is right to suggest you attend grad school in literature only if you have fellowship or ta-ship support. To be expected to pay for an MA in English with money rather than teaching labor is not really to be admitted into preparation for an academic career. If you're paying tuition for an MA while other students teach composition or enjoy fellowships, then you're there to subsidize others.
Penn State has a great English Dept. Many of us working in literary studies recognize that PSU's omission from the US News Top 25 is evidence that the list is flawed and maybe laughable. A more meaningful measure of a program's success is its placement record. Penn State is, I'm sure, doing better than most PhD programs in terms of securing dignified, even tenure-track work for a sizable percentage of its graduates. The same is true for Rutgers, which does appear on the top 25 list.
Hint: you need to apply to more than three schools. The poster who warned about how small a percentage of applicants get in is spot on. My best undergraduate student last year applied to at least 10. He starts at The Ohio State this fall; it is a fabulous program. He begins with a promise of two years of fellowship (no teaching) and at least four additional years of teaching provided he is making good progress toward the degree.
Vanderbilt has a reputable program. Overall it ranks third on your list, though in tough economic times the prospect of fellowship support rather than teaching support is much better at a private school. After intellect, work ethic, strong advisors, and a real question that wants an answer, the most important resource for a dissertation is time without teaching responsibilities. Private schools as good as Vanderbilt or better will give you time to work; they'll also admit very small cohorts. (Don't get me wrong. I love teaching, but winning and keeping jobs comes mainly from luck and thoughtful, persuasive writing.)
There may be particular fields within English that are stronger at Vandy than PSU, but I don't know what they are. I'd guess Southern Literature, but the fact that I'm guessing is telling. If I were on the hiring committee for my department, I'd have to ask other members of the committee whether Vanderbilt has a proven record of preparing scholars in whatever field of expertise we're looking for. For your other two schools, I can tell you about some of the strengths and names some faculty members. (PSU: Berube, Nielson; Cornell: Culler, Chase. Apologies to Houston Baker, who recently moved to Vanderbilt from Duke.)
You should know going into grad work that the Modern Language Association typically reports that only 43 per cent of job-seekers with new (or nearly new) PhDs secure tenure-track or comparable positions each year. The numbers were worse last year, and they are certain to be worse again this year. Many universities have announced hiring-freezes; my department doesn't expect to hire anyone new for at least two years. Sorry to be discouraging, but it would be bad faith to share advice on admissions without including this caveat.
There's a professor at UConn, Gregory Semenza, who published -Guide to Graduate Study in the 21st Century- (or something like that). He also maintains a page of grad application advice on his faculty website. If you read his advice page and still want to apply, then you'll want to read his book. Semenza, btw, graduated from Penn State. His field is Early Modern (Shakespeare), and his landing a gig at UConn also recommends him. Disclaimer: I don't know Semenza, but I've read his book. I wish I'd had it when I started grad school, and I send every student who asks about grad school to his website.
Best of luck.