Paul,
My solution for this kind of issues is to copy the staff with the text into another staff but layer the copies on each other.
On one of the staves I put the lyrics of the verses and on the other one I put the lyrics for the refrain.
Then I mutually collapse the parts that I don't want to see.
Also, I always try to set a system break where I have inserted the collapsing switch to avoid ugly empty lyrics lines.
Here is an example of what I mean: (just past the whole text as a new file in NWC).
!NoteWorthyComposer(2.751)
|Editor|ActiveStaff:1|CaretIndex:2|CaretPos:-2
|SongInfo|Title:""|Author:"<Name>"|Lyricist:""|Copyright1:"Copyright © 2018 <Name>"|Copyright2:"All Rights Reserved"
|PgSetup|StaffSize:16|Zoom:4|TitlePage:Y|JustifyVertically:Y|PrintSystemSepMark:N|ExtendLastSystem:N|DurationPadding:Y|PageNumbers:0|StaffLabels:None|BarNumbers:None|StartingBar:1
|Font|Style:StaffItalic|Typeface:"Times New Roman"|Size:10|Bold:Y|Italic:Y|CharSet:0
|Font|Style:StaffBold|Typeface:"Times New Roman"|Size:8|Bold:Y|Italic:N|CharSet:0
|Font|Style:StaffLyric|Typeface:"Times New Roman"|Size:7.2|Bold:N|Italic:N|CharSet:0
|Font|Style:PageTitleText|Typeface:"Times New Roman"|Size:24|Bold:Y|Italic:N|CharSet:0
|Font|Style:PageText|Typeface:"Times New Roman"|Size:12|Bold:N|Italic:N|CharSet:0
|Font|Style:PageSmallText|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User1|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User2|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User3|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User4|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User5|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|Font|Style:User6|Typeface:"Times New Roman"|Size:8|Bold:N|Italic:N|CharSet:0
|PgMargins|Left:1.27|Top:1.27|Right:1.27|Bottom:1.27|Mirror:N
|AddStaff|Name:"Staff"|Group:"Standard"
|StaffProperties|EndingBar:Section Close|Visible:Y|BoundaryTop:12|BoundaryBottom:32|Lines:5|WithNextStaff:Bracket,ConnectBars,Layer|Color:Default
|StaffProperties|Muted:N|Volume:127|StereoPan:64|Device:0|Channel:1
|StaffInstrument|Trans:0|DynVel:10,30,45,60,75,92,108,127
|Lyrics|Placement:Bottom|Align:Standard Rules|Offset:0
|Lyric1|Text:"this is the - first verse of the song\n"
|Lyric2|Text:"this is the se-cond verse of the song\n"
|Lyric3|Text:"this is the - third verse of the song\n"
|Lyric4|Text:"this is the - fourth verse of the song\n"
|Lyric5|Text:"this is the - fifth verse of the song\n"
|Clef|Type:Treble
|Boundary|Style:EndCollapse
|Note|Dur:4th|Pos:-6
|Note|Dur:4th|Pos:-6
|User|Slur.ms|Pos:-4|Pen:dash
|Note|Dur:8th,Dotted|Pos:-6
|Note|Dur:16th|Pos:-5
|Note|Dur:4th|Pos:-4
|Bar
|Note|Dur:8th,Dotted,Slur|Pos:-4
|Note|Dur:16th|Pos:-5
|Note|Dur:8th|Pos:-4
|Note|Dur:8th|Pos:-3
|Note|Dur:8th,Slur|Pos:-2
|Note|Dur:8th,Slur|Pos:-5
|Note|Dur:4th|Pos:-4
|Bar|SysBreak:Y
|Boundary|Style:Collapse
|Note|Dur:8th|Pos:1
|Note|Dur:8th|Pos:1
|Note|Dur:4th|Pos:1
|Note|Dur:8th|Pos:-2
|Note|Dur:8th|Pos:-2
|Note|Dur:4th|Pos:-2
|Bar
|Note|Dur:8th|Pos:-4
|Note|Dur:8th|Pos:-4
|Note|Dur:4th|Pos:-4
|Note|Dur:8th|Pos:-6
|Note|Dur:8th|Pos:-6
|Note|Dur:4th|Pos:-6
|Bar
|Note|Dur:4th,Dotted|Pos:-2
|Note|Dur:8th|Pos:-3
|Note|Dur:4th|Pos:-4
|Note|Dur:4th|Pos:-5
|Bar
|Note|Dur:Whole|Pos:-6
|Bar|Style:SectionClose|SysBreak:Y
|AddStaff|Name:"Staff-1"|Group:"Standard"
|StaffProperties|EndingBar:Section Close|Visible:Y|BoundaryTop:10|BoundaryBottom:14|Lines:5|WithNextStaff:Bracket,ConnectBars|Color:Default
|StaffProperties|Muted:N|Volume:127|StereoPan:64|Device:0|Channel:2
|StaffInstrument|Trans:0|DynVel:10,30,45,60,75,92,108,127
|Lyrics|Placement:Bottom|Align:Standard Rules|Offset:0
|Lyric1|Text:"And here comes\nfi-na-ly\nthe re-frain\nof the song\nWhat do you think now?\n"
|Clef|Type:Treble
|Boundary|Style:Collapse
|Note|Dur:4th|Pos:-6|Opts:Lyric=Never
|Note|Dur:4th|Pos:-6|Opts:Lyric=Never
|User|Slur.ms|Pos:-4|Pen:dash
|Note|Dur:8th,Dotted|Pos:-6|Opts:Lyric=Never
|Note|Dur:16th|Pos:-5|Opts:Lyric=Never
|Note|Dur:4th|Pos:-4|Opts:Lyric=Never
|Bar
|Note|Dur:8th,Dotted,Slur|Pos:-4|Opts:Lyric=Never
|Note|Dur:16th|Pos:-5|Opts:Lyric=Never
|Note|Dur:8th|Pos:-4|Opts:Lyric=Never
|Note|Dur:8th|Pos:-3|Opts:Lyric=Never
|Note|Dur:8th,Slur|Pos:-2|Opts:Lyric=Never
|Note|Dur:8th,Slur|Pos:-5|Opts:Lyric=Never
|Note|Dur:4th|Pos:-4|Opts:Lyric=Never
|Bar
|Boundary|Style:EndCollapse
|Note|Dur:8th|Pos:1
|Note|Dur:8th|Pos:1
|Note|Dur:4th|Pos:1
|Note|Dur:8th|Pos:-2
|Note|Dur:8th|Pos:-2
|Note|Dur:4th|Pos:-2
|Bar
|Note|Dur:8th|Pos:-4
|Note|Dur:8th|Pos:-4
|Note|Dur:4th|Pos:-4
|Note|Dur:8th|Pos:-6
|Note|Dur:8th|Pos:-6
|Note|Dur:4th|Pos:-6
|Bar
|Note|Dur:4th,Dotted|Pos:-2
|Note|Dur:8th|Pos:-3
|Note|Dur:4th|Pos:-4
|Note|Dur:4th|Pos:-5
|Bar
|Note|Dur:Whole|Pos:-6
|Bar|Style:SectionClose
|Boundary|Style:Collapse
|AddStaff|Name:"Staff-2"|Group:"Standard"
|StaffProperties|EndingBar:Section Close|Visible:Y|BoundaryTop:10|BoundaryBottom:10|Lines:5|WithNextStaff:Bracket,ConnectBars|Color:Default
|StaffProperties|Muted:N|Volume:127|StereoPan:64|Device:0|Channel:3
|StaffInstrument|Trans:0|DynVel:10,30,45,60,75,92,108,127
|Clef|Type:Bass
|Note|Dur:4th|Pos:-1
|Note|Dur:4th|Pos:1
|User|Slur.ms|Pos:-4|Pen:dash
|Note|Dur:8th,Dotted|Pos:3
|Note|Dur:16th|Pos:2
|Note|Dur:4th|Pos:1
|Bar
|Note|Dur:8th,Dotted|Pos:-1
|Note|Dur:16th|Pos:-2
|Note|Dur:8th|Pos:-1
|Note|Dur:8th|Pos:-1
|Note|Dur:8th|Pos:-1
|Note|Dur:8th|Pos:3
|Note|Dur:4th|Pos:3
|Bar
|Note|Dur:8th|Pos:-1
|Note|Dur:8th|Pos:1
|Note|Dur:4th|Pos:3
|Note|Dur:8th|Pos:6
|Note|Dur:8th|Pos:6
|Note|Dur:4th|Pos:3
|Bar
|Note|Dur:8th|Pos:3
|Note|Dur:8th|Pos:3
|Note|Dur:4th|Pos:1
|Note|Dur:8th|Pos:1
|Note|Dur:8th|Pos:1
|Note|Dur:4th|Pos:-1
|Bar
|Note|Dur:4th,Dotted|Pos:-1
|Note|Dur:8th|Pos:0
|Note|Dur:4th|Pos:1
|Note|Dur:4th|Pos:3
|Bar
|Note|Dur:Whole|Pos:-1
|Bar|Style:SectionClose
!NoteWorthyComposer-End