Earlier this week, ZiPhone was released and was the first tool available that provided not only a direct jailbreak for iPhones running 1.1.3, but did so in one step. Though pretty darn convenient, ZiPhone was still a command line application, which can scare off some of the less technically inclined iPhone owners out there.
read it here iphonefaq.org
[Editor: ZiPhone has also a GUI front end now, see screenshot here]
This hack works for me, just unlocked my iPhone on 1.1.3