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In support of the above answers, here are some Matt Cutts videos/interview/other resources on those various types of links:  What is Google's view on guest blogging for links? How can I guest blog without it appearing as if I paid for links?  Link Building Is Not Illegal (or Inherently Bad) with Matt Cutts Matt Cutts on Blog Comments, Links & Spam: Use Your Name, Not Keywords 17 Types of Link Spam to Avoid

LOL.. its funny you feel this way because i thought i was the only one... I'm new to seo and then i was put on here and i need a direction to go but im soo confused. Everyone keeps telling me to watch these videos and i am, understanding more and mmore off the tools but is there somewhere I'm supposed to start in the process and end?