PhotoFunia is an iPad tool that I recently downloaded for free. This tool allows you to take a picture or grab one from your camera roll and insert the photograph into a large variety of background images. The tool is easy to use and fun. There is some advertising on the bottom, but in my opinion it does not distract from the creation process.
We are currently using the billboard and poster categories in PhotoFunia to create images with advertisements that were created in our enrichment/ library class. This addition of a tool allows students to work with a different app and create a fun and relevant final project. We have also found that students have to think more about color, detail and their overall advertisements' visual presence!
This tool would also be great to use for 'get to know you' projects, or just for FUN!