I went to a small school that nobody outside of town has heard of- a school that I loved and a community in which I was challenged and nurtured. I transferred there from a large well-known university for personal reasons, and part of me regrets that my u/g degree is not from the school where I started. In a way, an "unknown" school can be great. In my case, it meant smaller classes, closer contact with profs (i got great recs), and a greater ability to shine academically.
I think that a big name means a lot to certain people for one reason or another, but has very little to do with the quality of education that you receive - i believe that you get out what you put in. that being said, i feel validated in a way, to be enrolling at a school in the fall that my out-of-state relatives have at least heard of.