text along a path

I use Photoshop 7, and have been using it for probably more than five years now. Recently, I had a friend come to me asking me how to make 'paths'--specifically, she wanted to put text along the path, and I told her I could do it for her and then teach her.

Only, when I went to do it, I couldn't. I'm stumped, because I know I've done it before--I did it in a class in highschool. I work with lines fairly frequently. But when I made the path with the pen tool (and I'm certain that I had the 'paths' feature selected) and then went under the text tool, I couldn't get the cursor to change to allow me to to make the wrapping text even when I hovered the cursor over the line and clicked directly on the path numerous times.


So to make a long story short, have I forgotten some step that is preventing my text from wrapping properly? Has anyone else had this problem...? I could use any help you all could offer. Thanks so much.