Yes Microsoft is offering free download of Windows 7. Yes there is a catch in this as the free download provided by Microsoft is for 90 days or around 3 months only. There are techniques provided by Microsoft themsleves to extend the trial upto 1 year. So you can use Windows 7 totally free for around 1 year.
The Free download by Microsoft provided is Windows 7 enterprise edition. You can download the Free Windows 7 trial from Microsoft in either 32 bit or 64 bit versions. The downloaded file will be a .iso file which you can burn onto a DVD or onto a USB. You can alternatively make you existing computer, dual boot into your current operating system version and free Windows 7 enterprise edition.
Once you have installed the Windows 7 on your computer, the operating system will ask you to activate your operating system. Let the OS do the activation and thereafter it will display a message at the bottom right of your desktop. In case you are using multiple monitors, the information message will be displayed on the last monitor connected to your Windows 7 computer. The information message will say that this Windows 7 is a trial versions and will display the number of days remaining for the trial.