How do you come up with creative dialogue?

My problem is, I know what I want to happen. I know how to get there. I have to use dialogue in certain parts to explain to the reader what is happening and how I got from point A in chapter X to point B in chapter Z. However, since I, being the author, am all knowing, dialogue feels like filler to me. When I read back over my work, I feel that it shows. I'm afraid people are reading my work and going, blah, blah, blah, move on with the story alrieady.

To make up for this, I want my dialogue to be informative, engaging, and true to character. How do I do this? How do you decide who says what and when? How much is too much?

That's a good question. For me, I just imagine myself having a conversation with someone else, like my best friends. What would I want to say? What would they say in return? Dialogue can be tricky if it's over the top but it can be a lot of fun. I try to avoid giant paragraphs of dialogue and find was to shorten the conversation if I can. Take out anything that really isn't necessary to the plot. There's no right or wrong way to write conversation just stay on topic with what you are trying to say and you'll be fine! Good luck in your writing!

I use dialogue a lot, maybe even too much, and it's my most important instrument for moving the plot forward.

Try to keep in mind the goal. Where do you want to get? Next, imagine the characters who are included in the dialogue. How do you wish to portray them? How would they speak, feel, react? I think it's vital also not to forget adding description, so much of our communication is not spoken. Tones of voices, gestures, expressions.

I think these are the most vital to keep in mind. Don't let the fact that you're the all-knowing writer get in the way. Maybe try connecting more with the characters, and with what they know and they feel, it might help. Dialogue is not at all a filler, it can move the plot, but also open a window to the character's mind and heart, it can be an important step in intercharacter relationship, and so much more.

I can't really help on how to decide on certain things, as I'm too impulsive for such. ^^; I just try to get into the right mood, and connect with the characters. From then on wards, the words will flow.

I hope this is helpful, even if only a little.

O.O good question! Try to keep dialouge short, concise and to the point. Try to avoid having a soliloquy in one paragraph and going on for ages. It gets rather dull. If you have two characters talking to one another, it's a good idea to describe how the conversation makes them feel. Are they smiling, happy, angry or sad. Physical descriptions that are also simple, and quick work best.

Example:

"Psst! Kagome!" hissed Sango. She was crouched behind a bush, and beckoning frantically. "Come here!" The slayer nodded, grinning from ear to ear when the Miko rushed over, curious.

"Is something wrong?" whispered Kagome, concerned. Sango wasn't usually this secretive. She yelped when the slayer yanked her arm, and pulled her down to the ground. The pair knelt in the dirt. Heavy footfalls pounded the earth.

Try to minimize the use of description to just the essential words. Give just enough detail do that readers can fill in the blanks themselves. Rule of thumb is to 'Show' your reader what's going to happen, not to 'Tell' them. Keep em guessing. It makes for a more interesting read.

Getting the feel for how a character might 'talk' in a conversation takes practice, and experimentation. I just go for what seems appropriate for the fiction. But most characters like Kagome or Sesshoumaru have a certain 'style' already based on the anime and manga, so there's a good base to work from as well.

Conversation should flow ideally between characters like it would normally between two people in the real world. Have a listen to how you interact with people. How they talk and so on. It's best to draw from experience. Write what you know. I've found it much easier myself.

As everyone has said, I don't suggest long passages of dialogue often, but I also wouldn't skimp on description. Overall, trust your readers to interpret things; you'll be surprised just how perceptive they are, and just how much you can tell of a story with just a few lines of dialogue.