I understand there is a rule for posting a suggestion that there must be a JIRA link. I did a quick search but I find the JIRA system quite complicated. If you need to close this thread fine but please consider modifying your rules for posting.
Just about every forum I visit has some sort of sticky thread on how to post a photo. The current vbulletin album system is not up to par hence the need for remote hosting and complicated threads describing how to use image hosting sites. The current system might be usefull for vbulletin gurus but not for the general public. The concept of hosting an image is foreign to many of my users (you often see people posting things like [ img ] c:\My Pictures\photo.jpg [ /img ]. They expect a system similar to autotrader or kijiji.com where it works similar to posting a classified ad. All vbulletin needs to fix this problem is an image upload box right next to the input box when creating a thread or post under the title "insert an image into this post". The image gets inserted with the proper image tags and gets hosted in the user's album library under "thread/post images" or something (kinda like facebook's mobile uploads album). You can keep the current album system but just make it evident for noobs to input and host photos directly into a post and send them to a special album.