Don't know of how to remove dried putty, other than scraping with an Xacto blade and/or sanding....sorry.
When I fill gaps, I use the Testor's putty. It is not a very good putty, but gets the job done when used with a dab or three of Super Glue (and when you hold your tongue right.) The fact that it separates in the tube and dries too quickly in the tip of the tube is frustrating, but I stick a straight pin in the end and then, when ready to apply, use the straight pin to stir/agitate the putty inside (in an attempt to mix it), then squeeze it out, move it to where I need it with an Xacto blade--usually No. 11--and pat it down. Once I have the putty in there, I immediately "seal it" with a bead of Super Glue. I smooth the Super Glue (if needed) with a toothpick, then once dry, sand, prime, and refill as necessary. Lots of steps and can be frustrating at times, but it works for me.