Put a small piece of sandpaper on the end of a pencil eraser and use that to sand out any rust. Make sure that you cut the sandpaper to the size of the pencil eraser.
You are likely going to have to wetsand and buff out the touch up work to make it look the best though. Easiest way to do that is to fill in the color portion and then when you do the clear, leave a SMALL mound on top that you can sand off to make it even with the rest of the clear coat.
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