I use my Xyron for my Quickutz letters all the time and this is what I do:
Run my letters through and then before I pull the plastic sheet off, I take a dry embossing stylus and "trace" my letters. After that, I pull off the plastic sheet and use the letters and there is absolutely NO glue on the edges at all. You don't have to do a good job "tracing" either, I do it really quick and make sure to get the insides of the letters and that usually does the trick. If I forget to do that, then I use an adhesive pickup. I know that 3M makes on and so does Making Memories.
Heather