I store my pictures in "Photobucket" and have no problems.
I open a post (or reply) then open photo bucket (hit the + sign at the top of this page)
Find the picture you want from the library.
Tap on "IMG" at the right of the page ( last one at the bottom) and when it says "copy" I hold down on "ctrl" and hit "c".
Then go back to the post and hold down on "ctrl" and hit "v"
And WALA! There it is!
At first it looks like two rows of computer geek but, when you hit "preview" or "post" it comes to life!
I guess "c" means copy and "v" means view but, I'm not sure.
By the way, this picture is the first thing I ever cut a LOOOOONNNNNGGGG time ago.