This was very annoying but has a simple fix, I had an echo and the voice quality was absolutely horrible (it sounded like tin cans under water) if that helps describe it.  It was extremely distorted.

The simple Skype sound quality solution

Go to "Options" -> "Sound Devices"

Disable the "Allow Skype to automatically set my mixer levels"

After doing this the sound quality was perfect.  Skype really needs to fix this, I know the Linux versions are BETA but these are huge bugs and Skype seems to ironically be notorious in Linux for having the most sound problems of any application.

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