Well, I downloaded few free templates right now. I plan to put my own links in the footer and sidebar and give to others for free. Though I will also keep the link of the original creator. Is it legit?
Read the terms of service from the places you downloaded them from. Some do not allow any changes, others do.
well the terms state this: "This is a free template from Free CSS Templates released under a Creative Commons Attribution 2.5 License. You're free to use this template for both commercial or personal use. I only ask that you link back to my site in some way. Enjoy "...But my question is what if there are no terms stated
If no terms are stated then you cannot alter it. You also do not have the right to distribute it (only use it for yourself) unless it is stated otherwise.