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Need help with this effect...


Fredultra9

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Does anyone know how to accomplish this effect? I've tried a couple of different methods but can't seem to get this same look. Any help would be much appreciated.
BURN.jpg
 
Red Lettering
I chose a chunky font such as "Impact" and distorted it vertically using Edit>Transform>Scale.
Then I rasterized the text layer, changed the layer blend mode to Dissolve, and applied a very minor Gaussian blur to achieve the rough edges.
To create the black grainy texture within the red lettering, make a selection of the red lettering and, on a new layer, fill that selection with white. Set the blend mode to Multiply—the white will disappear—and then go to Filter>Noise>Add Noise. I think I used about 9% for the noise.

Yellow Effect
Create a new layer with blend mode of Dissolve. Using a soft brush, draw the yellow where it needs to go. Don't worry about being sloppy in the areas between the letters—that can be cleaned up later with a layer mask.
If you want more "dissolve-ness" in the vertical direction, go to Filter>Blur>Motion Blur. Set the angle to 90 degrees and apply an amount of blur that looks good.

At this point, the yellow effect needs a bit of Gaussian blur to soften the sharpness of the dissolve grains. But when a layer has blend mode of Dissolve, applying blur does not actually make it blurry. Instead, the blur increases the amount of dissolve-ness. To get around this, turn off all layers except the yellow. Then, on a new layer, use Stamp>Visible (Shift+Ctrl+Alt+E) to create a new yellow layer with blend mode of Normal. You can now delete the old yellow layer. Reactivate all the other layers and apply a very slight Gaussian blur to the yellow layer. I used 0.4 pixels.

The last step is to add a bit of noise to the yellow layer and then apply a layer mask to mask away the areas between the letters.
 

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