1) Dont use the file upload behavior and select the Submitted file option on the attachments tab of the UE behavior
??2) Use the file upload behavior to save the file to the server. Then on the attachments tab of the UE behavior, select the enter value option.??Click the lightning bolt icon and expand the Uploaded Files binding group, select the Server Directory binding. Copy the code for the server directory binding, then select the Server file name binding. lastly, copy the server directory code in front of the server file name binding code.
no, you wont be able to test sending emails locally unless you install an SMTP server.
Do you have tutorial on option 1? I have the latest extensions installed?