For your first step Create your design as you like.
Here i create new image with Image size (width=400, height=300) and background color
"white" in GIMP.
Select Bucket Full Tool in Toolbox and fill selected area with a color or pattern.
Now Select Rectangle Select Tool in Toolbox and select a rectangular region
infront of background red color and now apply effects.
First, right click on the selected image and select Filters -> Distorts->
shift(shift each row of pixels by a random amount)from the menu,now shift box
will be appears in that box we select horizontal or vertical and amount of pixels is 10 then click ok.
Apply the filter, and watch what happens to the image.
Now we select Eraser Tool in Toolbox and select different brushes
to decorate your rectangular box.
Our last step,after decorate your rectangular box right click on the selected image and select
select-> none and also now apply brushes and decorate your background.