Service that allows me to share, edit,and comment on word/excel documents with others

I want an online service (preferably free) which I can use to exchange files with other users. It will act mostly as an FTP, but I'd also like the ability for me and others to work collaboratively on Word documents or Excel spreadsheets by editing and commenting on them.

Someone recommended Google Documents, and I believe it has everything I need (haven't really taken a look at it), but I was wondering what my other options are and what is the more preferred method.

Thanks in advance.

I thought windows live workspace has features like that.

The first thing I thought of when I read the title is Google Docs. We use it at work (mostly the spreadsheet) when sharing between 10+ people. The only downside is that if multiple people logs on at the same time, it can slow down the program.

I agree. Why don't you try out Google docs.

[quote name='mexia']I agree. Why don't you try out Google docs.[/QUOTE]

Yea, I just wanted to know if there were any other options out there. Looks like Google Docs will do what I need.

Thanks for the responses, guys.

http://www.masternewmedia.org/best-online-collaboration-tools-2008-the-collaborative/

i had a bunch bookmarked on my old computer but that was either before i started using tags or i forgot what tags i used cause I'm not seeing them and i'm too tired to search my bookmarks manually.