I used the technique/tutorial in the PDN PDf file to cut my images. It seemed confusing for a second, but I got it together quickly. Now, I have them cut out, and all, and I deleted the other layer, so now none of the outline is showing and all, and I read the thing about the different file formats, and what they do, and which ones keep the layering and etc. But, neither the Tif or PGN format worked. It still looks the same. Now, mind you i'm a rookie, and I only played with this program about 5-10 times at the most, so my cut out isn't all that (Yes I know how to feather too, but when I did it, it sharpened my edges a lil too much, and the pic was already cut kind of sharp in the 1st place). So, this is how it looks:
Now how do I get that white background to disappear, so when I do it (correctly) I can just paste it on my texture background, and start my edit?