An OC is an Original Character. Basically, it is fan-made character. Many people create theirs on the Pony Creator but some draw theirs. Example: My OC is Rockout E. Stringer Anyway, here is the Pony Creator: http://generalzoi.deviantart.com/art/Pony-Creator-Full-Version-254295904
Basically it's what my friends Vint and Ridley said I don't even have a OC or want to make one and even I know what a OC is BTW sorry if this comes off as mean or insulting that is not my intention.
OC is Original Content, but in this case, Original Characters. People make em as a sort of making their ponysona or just making a new character themselves that would fit in the universe of what inspired it. Creating one can be as simple as using that handy dandy OC creator Vint posted to just writing up a story of said character. As to what the OC is, that would be up to the maker, which in this case, would be you and your OC.
The adorable blue pegasus in this post is my OC. :3 Yep, use the pony creator to make one. But if you're a good artist, unlike me, you can just draw your own.
OC? My avatar is my four favorite OCs of mine. (One of them still has yet to be used since I don't even have a backstory for her.) but anyway. OC. Anyone or thing you create. Dreamer, my main OC is the most like me. Crazy, loud, eccentric, raaaaandom. Obsidian, the deer, is probably the least like me. Calm, collected, strong willed, can read other people well. And the. Some are just out of the blue like Avarice. Caring, yet concieted. Where did that come from? No idea... Anyway... Etc. etc. etc. http://www.everypony.com/forums/showthread.php?11782-What-Makes-a-quot-Bad-OC-quot-Bad might help a bit.