I find removing the papers is easier if I start in the middle. Fold on the line, crease with fingernail. Hold by the seam allowance, place thumbnail in center of the block, pull the papers at the center, where your thumbnail is, then tear from the center to the corners. I hope that makes sense. By starting in the center, you don't pull the threads at the corner.

Also, using a smaller stitch length gives the seam more stability and helps it tear more easily.

Hope that helps.

I made one and used quarter inch seams throughout. It came out fine. However, I really don't like those papers. Once was enough for me! But it's always fun to try new things. I just didn't really enjoy it that much. That's probably why I don't like paper piecing.
That molefoam sounds like a great idea.

I bought four different versions of the charm square size mixes. Some of the pieces are 1" so sewing on the paper keeps the shapes accurate for me. I use a 1.5 stitch length and the paper pulled away without any problems. For sewing pieces together I use this guide. It the best I've found for sewing curves too and it works with the wider feed dogs. I bought the student version first and then bought the set of the longer one. http://www.sewverysmooth.com/Seam-Guide.html

If you watch the tutorial on fat quarter shop where they do the cake mix I believe she uses a 1.5 stitch length and this makes it easy to remove.

Go to Fat Quarter Shop. They are done by Miss Rosie's Quilt Shop for Moda. MSQC and Stitch also have the Layer Cake Mix.