I have been reading some threads where people say that the ads are too close to images, and while editing one of my sites noticed that I have a banner ad that is pretty close to one of google ads. But how close is to close? Does this one look okay - http://hostpit.com/services.php thanks
I don't think that is what they are concerned about. They are looking more at people that put pictures right above the ads and have them all lined up and right on topic of the ads to make it look like they are all one (the picture and the ad)
It's fine I think. It is a link unit that is right underneath your banner - it doesn't matter too much if people confuse these two units because link units require at least 2 clicks before you receive any payment. If someone clicks it by mistake, they'll not click it a second time (probably).