I have Adobe Photoshop CS2... The process is quite easy.
1. Make image
2. Use the text tool to write the desired text. Choose font and side then position.
3. Go into layer options and use "Outer glow" OR "Drop Shadow" either can be used to get the glowish effect once you mess around with the tools. The layer options can also be used to do the other text efects.
4. Now go to the layer menu and turn the background into an active layer. Now the easy bit. Delete the background layer so you only have the font. (take note, the glow effects will look totally messed up now but worry not).
5. you MUST save the image as a .PNG format as that gives the transparency.
6. Upload and you're done ^_^