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This guide has used Photobucket as an example - it is free and seems to work OK.
First you need to get an account with a hosting site. As this guide has been written with screen shots from my Photobucket account, that would be a good site to sign up with

Next lets check that you will get the correct box show up to give you the image code that is required:
Click 'account options' at the top of the screen.

Scroll down to the 'Album Settings' section and click on 'Link Options'

Check that there are ticks in the 'IMG for bulliten boards & forums' boxes.

If you made any changes then click 'Save', if you didnt then you can just click 'Cancel'
Now you should be back at the 'normal' screen. If not then click 'my albums' in the blue bar to return to the main album.
Click 'more options' (underneath the 'Upload images and videos' button)

Select a reasonable image size, then click 'Save'. I use 800 x 600 when i am posting directly into a thread. This allows the margin and image to be displayed without having to drag the screen to the right. (My monitor is 15" and set to 1024x768)

Click 'Upload images and videos' to open another little window where you can navigate around your computer to select the files you want to post.
