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HelloFax, the online fax company, has recently partnered with Microsoft and now lets you send up to 50 pages per month to any fax machine in the world for free. All your need is a web browser and a Microsoft account (your Hotmail or Windows Live ID should also work).

To get started, go to hellofax.com/skydrive and click the “Sign-up with Microsoft” link. Once your are signed in, just upload any document and put in a fax number (with country code) to send your first online fax. Once your fax has been successfully delivered, a copy of the outbound fax document will be automatically saved in your SkyDrive.
You can use HelloFax to send Word documents, PDFs, text files, images and several other popular formats. You can also pull in documents directly from your SkyDrive, Box, Dropbox, Evernote and Google Drive accounts for faxing.
Also see: Comparison on Online Fax Services
Your free account will only help you send faxes to other numbers but in order to receive faxes, you’ll have to buy an incoming fax number that costs around $7.99 per month.
Update – If you don’t have a Microsoft account, go to hellofax.com/googledriveand use your Google Account to sign-up for HelloFax.  You will still get credit for sending up to  50 faxes per month for free for a maximum of 6 months.