How do I make background transparent? Is there an option to do that in photoshop? Or are you talking about removing that default white background?
Not sure what you mean by "default white background"; most of the banners have black backgrounds.
In Photoshop, I think the easiest thing to do is create a new file with a transparent background, paste in the banner, and delete the black background around it. (Simplest way is with the magic wand selection tool.)