Open login form in popup iframe? Using Colobox module? I have the login form block in my header. I removed it and in its place to put a 'login' link. 

When clicking the link I'd like a popup (iframe or inline content) to show up. When the form is submitted the popup should close and then return and refresh the parent page.

I think the colorbox module is the right module to do this but I think that my request must be a frequently request and maybe there is an easier way to do this?

Thanks
I can confirm that the http://drupal.org/project/colorbox module is one of the easiest (and most supported) ways to have a lightbox for the login form.

There is also other benefits like being able to load AJAX content in the lightbox as well using 'colorbox-load'