Server refused our key UBUNTU Solution

Server refused our key UBUNTU

After spending the last two hours working on this issue, I though it would be a good idea to post a solution.

Most online tutorials only refer to ssh_config instead of sshd_config.
Ubuntu SSH has two config files: ssh_config and sshd_config
#cd /etc/ssh/ reveals the following:

SOLUTION

I was making my changes to ssh_config but the active config file is sshd_config.

Do not forget to reload ssh after changing the sshd_config file.

sudo service reload ssh

If it is still not working :

Move your key to a different location.

Now why in the blue world do we have two SSH config files in UBUNTU.
Any idea?

Useful references
http://www.howtoforge.com/ssh_key_based_logins_putty
http://adamwright.wordpress.com/2011/05/16/ssh-error-server-refused-our-key-and-how-to-fix-it/