The corroded edges effect is a great wear and tear effect you can utilize when doing worn down interfaces. This technique make use of the Photoshop diffuse filter plus the softlight effect.

You can start by loading a selection on the interface where you will apply the effect.

Once you have the selection. Select the airbrush tool and then set the brush opacity at 100% and select one of the default brushes in the brushes palette with the size 19 and the hardness at 100%.

With the selection still loaded, create a new layer on top of the interface and then brush with random strokes at the edges of the interface similar to the image on the right.

Apply the diffuse filter (FILTER > STYLIZE > DIFFUSE) on the current layer with the with brush pattern.

Keep the selection and repeat the diffuse filter until you get the right amount of diffusion. I applied the diffusion filter 6
times for this tutorial but you can repeat it more or less times depending on how rough you want the edges to look.

Once you got the diffusion filter done you can then release the selection.

Apply the inset softlight effect on the diffused pattern to create the 3D look on your corroded edges.

Duplicate the layer of the black softlight pattern to give emphasis on the corroded edges. Reduce the opacity of that
layer depending on how sharp you want your corroded edges to appear.
Download PSD file of this tutorial.
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