Coral3 - What an awesome idea! I am a perfectionist and usually spend quite a bit of time (if I have a lot of letters) cleaning up the edges. I'm definitely going to try the steam method! Thank you!

Thanks All4Show for mentioning the Windsor Clixstix plunger cutters!

I found some in CakeDeco (Melbourne) the other day and had a chance to use them yesterday. I have to say they are brilliant. SO easy to use. Cut really cleanly. The only issue with them is the plunger bits leaving marks on the letter, but by rolling the fondant a bit thinner and being careful only to press on the outer edge when cutting, the marks are easily avoided.

I bought the 'Groovy' letters (upper case plus lower case...and the number set because I couldn't help myself). Trouble is, now I want ALL the other sets too!