My girlfriend lives in Spain and i've been using Jajah. It's absolutely free! The only catch is that once you register with them you must also make sure that the person you are calling is also a registered member with Jajah. Jajah allocates you each 1 hour per day. If you call a jajah member its free. However if you call any other landline number there is a fee and you will be asked to pay for credit to make these calls. The mobile calls will also cost a small fee but at a fraction of what they would normally cost. Visit www.jajah.com and follow the instructions. I've saved an absolute fortune with this service and there is no software to download. All you have to do is register a valid e-mail address and the lanldline number you will be phoning from. You may need broadband for this service.
After one failed attempt to get the Skypeout setup, we managed to get credit and make calls home. Very very good value, impressed with speed of transmission and clarity also. Thanks