I sew my binding to the front of the potholder just like I would sew a binding to a quilt. I sew it to the potholder front, then trim the batting and backing up to the raw edges of the binding. Then fold the binding to the backside of the potholder and pin in place, pin on the front side, so that the folded edge on the binding covers the stitching line a little. Then stitch in the ditch or a little bit in {on the binding} on the right side of the potholder and both sides come out great. I use 2 1/2 to 3" binding so it makes doing this easy and makes a very pretty potholder. I just made several for my daughters birthday and a couple sets for myself...