LiveMocha is an interactive language learning site. This site provides online classes where you can complete exercises in German for correction by native speakers in exchange for correcting their English coursework. The site is free and you can go at your own pace. Create a profile for yourself and get into contact with German speakers who can help you learn or perfect your German. You can also contact native speakers who can teach you a certain dialect or accent from a German, Austrian or Swiss city, and help you with specific vocabulary for your learning goals.
If you have an interest in literature and want to learn some words and phrases in a familiar context, try the ELanguage School German language course. Within a few lessons you will be able to read classic fairy tales in German. In addition to introducing the alphabet, basic grammar lessons, useful common phrases and the basic language structure of German, reading a short story will help boost your confidence and give you a specific goal to work towards. Combine study on this site with meeting a language partner from LiveMocha online or in person to get the most benefits from online German language study.
The BBC Languages website provides online education for a number of languages. Their German language learning site is quite comprehensive, including ways to learn the four elements of language (reading, writing, listening and speaking). You can find podcasts in German, as well as the English language information about German language and Germany. This site is appropriate for those of all levels of German language fluency.
The website Omniglot: Writing Systems and Languages of the World provides information about the German language as well as a list of online resources for learning German. Learning about the history and structure of the language can help you understand the language learning process. With its vast list of resources, you can compare many sites and determine ones that fit your learning style.