i'd avoid changing sides too, i think i'm sitting at -771/-1039. got everything attacking me now(even hugi, no tele ring?).
doing the quest for fighting with the ophidians gets you some lame pots.
doing the quest for fighting with the bane gets you a blackrock stew or something, its needed to bond the bane dragons.
i think you need atleast 2000 loyalty to do the quests, but i'm not sure. also need crystalline blackrock for the quest.