Removing fringes while creating compositions

While cutting out or transforming images, some of the pixels surrounding the selection border are included with the selection; this can result in a fringe around the edges of the edited selection which results in low quality output on image manipulation. We can off course fix it with Pen Tool which guarantees best output but rather requires longer time and involves lots of hard work. So, for the quick result with quality intake; here are some simple steps that can be followed to overcome those fringes.

Here we have two images that need to be complied together. End result will be ship sailing on the sea.

 As seen below, ship gets lots of fringes in rope areas when placed in sea background.

Now, with layer of ship selected; go to Layer > Matting > Remove White matte. We bet you will simply love the final result!