1. A method for forming a final digital color image, comprising: (a) capturing an image using an image sensor having panchromatic pixels (P) and color pixels, red (R), green (G), and blue (B), in the following arrangement: R G P P P P G B P P P P; (b) providing from the captured image a digital high resolution panchromatic image, a low resolution panchromatic image, and a low resolution RGB CFA image; (c) using the low resolution panchromatic image and the low resolution RGB CFA image to produce a low resolution color differences image; (d) using the low resolution color difference image to produce a digital interpolated low resolution color differences image; (e) using the digital interpolated low resolution color differences image to produce a digital high resolution color differences image; and (f) using the digital high resolution panchromatic image and the digital high resolution color differences image to produce the final digital high resolution full color image.