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You need to figure out what ghost it is, and then use the correct banishing tool to KO them and then bang them. 

The 'How to Play' guide shows you how to use each banishing tool, because they're all a little different. Sometimes its just waiting for them to spawn and pressing F, sometimes its more involved.

I know that Silly, i'm referring to the board in game saying have incense on your and it will stop them in their tracks while you run around being hunted.   I could be just reading into it too much.

...The challenge for warding away a ghost with incense sticks? Isn't that just exactly what you said would happen? Scaring them off?

Ohhh Okay so thats it, its not like they are in mid action and it stops?  I just don't know if i'm doing it right....hahah said every virgin....just saying...