The Crapter's Lament

"I can not believe I just did that!" The crapter's lament. A line I have howled on more than one occasion and for the record just screamed three times in the last half hour.

Why? Because I finally got around to ironing my transfer down on my pillow case but instead of reading and following the instructions, I started to pull back the transfer before letting it cool. Luckily, when I wasn't able to get the paper to budge too much, I decided to look at the instructions (novel idea!) and stopped. Still, a bit of damage was done:
The little corner is flawed, but what could I expect? I wouldn't be a crapter if it came out looking good. I'd be Martha Stewart. That was the first "I can not believe I just did that." The second concerned the fact that I did not trim the transfer. I had copied the image to fill the page and though the instructions (which I read when I first printed the image a few days ago) said to trim the paper I, obviously knowing more than the company that produces the transfer, decided to ignore it. The result:
Ah, that's one pretty border around the border! Okay, you know I can live with that, I can - what crapter couldn't? - but "I can not believe I just did that," issued from my mouth for the third time when I noticed this:
Super! It's peeling off the fabric!

I had such hopes for this. Not that all is lost, but should I start again or should I just proceed? My intention was to make a kind of photo corner to sew over each corner of the postcard, so that would cover the first ICNBIJDT but the tacky border and the truly tacky peeling? I guess they warrant a re-do but boy do I hate the waste! Any suggestions on salvaging this monstrosity?