diff --git a/README.md b/README.md
index a8cf5f9..24076ab 100644
--- a/README.md
+++ b/README.md
@@ -6,21 +6,33 @@ Examples
 
 ```python
 import editor
-commit_msg = editor.edit(contents="# Enter commit message here")
+commit_msg = editor.edit(contents=b"# Enter commit message here")
 ```
+
 Opens an editor, prefilled with the contents, `# Enter commit message here`.
-When the editor is closed, returns the contents in variable `commit_msg`.
+When the editor is closed, returns the contents (bytes) in variable `commit_msg`.
+Note that the argument to `contents` needs to be a bytes object on Python 3.
 
 
 ```python
-import editor
 editor.edit(file="README.txt")
 ```
-Opens README.txt in an editor.  Changes are saved in place.
+
+Opens README.txt in an editor.  Changes are saved in place.  If there is
+a `contents` argument then the file contents will be overwritten.
+
+```python
+editor.edit(..., use_tty=True)
+```
+
+Opens the editor in a TTY.  This is usually done in programs which output is
+piped to other programs.  In this case the TTY is used as the editor's stdout,
+allowing interactive usage.
 
 
 How it Works
 ------------
+
 `editor` first looks for the ${EDITOR} environment variable.  If set, it uses
 the value as-is, without fallbacks.
 
@@ -33,5 +45,5 @@ For example, on Linux, `editor` will look for the following editors in order:
 * emacs
 * nano
 
-When calling the `edit()` function, `editor` will open the editor in a subprocess,
-inheriting the parent process's stdin, stdout
+When calling `editor.edit`, an editor will be opened in a subprocess, inheriting
+the parent process's stdin, stdout.