Skin size problem

[joes1944]

I Duplicated a number of Dark and light lines layers to a skin (Jester's ink FW-190D9). So I could emphasize certain areas and lessen others to show highlight and shadows of certain plates which are above the other plates. Now the skin has a white and grey checkered border around the skin. I checked the size and it's correct, 1024X1024 pixels-14.222 X 14.222 Inches-72.000 Pixels per inch-8bits/channel. However, after I bright it and install it into the game the grey and white checkered border adds something to the skin which seems to turn it insideout. How do I remove the grey and white checkered border?

[Jesters-Ink]

Show the bmp here if you can and we will go from there.