This is using PSP 9 or higher, some of the earlier versions
don't work quite the same with text. You may have to look at your owners
manual for specifics.
Open up a blank image 480 px wide x 240 px high. White
background.
Using the Ellipse Tool, Part of the Shapes Tool as follows:
Making sure that you have "Create on Vector"
checked.
Choosing a color for your foreground color and making sure
that your background color is transparent or Null, like this:

Then we are going to draw an outline of a circle
placing it where you want the text to go. as below:
Now we are going to create another layer over that, Click on
Layers/New Raster Layer a box will come up click OK without changing anything in
the box.
Using the text tool choose a font and size that you want for
your drawing and then using your mouse find an area around the circle in the
drawing to place the text.
When it is in the correct area the cursor will change to a
cross with the letter A and a semi-circle underneath.

This means that your text will now lie on a curve. Type
in your text and click the left mouse button. Your Text
should now be placed along the curve we made earlier.
Looking similar to this:
You may have to play with the placement to get it just
right. Once your text is placed where you want it, we can now remove the
Curve below.
On the Layer Palette you will find three layers, Background
layer, our original layer, Vector 1 layer, this is the curve and Raster 1 layer
which is our text. Click on the Eye icon next to the Vector Layer, now we
can only see the Background layer and the Text layer. Like
This:
Now all that is left is to Merge the layers, go to
Layers/Merge/Merge All. You have completed the text on a
curve. Your image should look similar to this:
Crop it down and save it and it will look something like
this!
Have Fun!
CatShoes Graphics©