I have used 1and1.com for about a year. They were highly recommended to me and I have had no problems with my site. Prices start at $3 a month and some packages give two free domains. I use their $4.95US Windows account and get 2 domain names, 100 GB web space, 1,000 e-mail accounts and 1,000 GB motnly traffic.
The only issue I had was trying to give them a credit card to pay. They are in the UK and my card company would not authorize payment.
See my site at http://mywoodfamily.us