Hi, I found another tutorial that helped me, and have included much simplified instructions from it at the end of this post.
Here's the link:
http://www.grafx-design.com/24psp.html
but I did it a bit differently -- I cropped the watermark file down to just the size of the text, so I could paste it onto an image as a new layer somewhere it wouldn't interfere with the image, but still show. This might be in different places on different images, so I didn't want it to be right in the middle like the example in the tutorial. Also, he must be using a different version (I have 7) because some of the menu items were in different places.
The saved watermark file doesn't look transparent by itself, but when you copy and paste it as a new layer (Cntrl +L) onto your card, it is transparent and clearly visible.
Here are the simplified steps:
1. New image, white background
2. Enter your text in black
3. Crop to desired size
4. Merge layers
5. Effects>Texture>Emboss
6. Layers>Properties>Soft light
7. Save image
8. Copy and paste as new layer Contro+L
Here's an example of it in use -- I placed it to show that it shows over patterns, white, light and dark cardstock.
Gallery at Splitcoaststampers
Hope this works for you -- it's a new method for me and I like it much better than what I used to do!
--Liz