Machine embroidery, hand embroidery, handwritten with fabric safe marker....doesn't matter which...JUST DO IT!!!! I am a huge advocate of labeling your quilts. And PLEASE don't just use a nickname like Memaw or Grannie. I suggest you put the name of the quilt, made by, the date...at least the month & year and your location. Just remember this, have you ever seen a quilt in an antique store, flea market, cousins house & wondered "who made that & where".
Example: "Starbrite" made by "Grammie" -Jane Doe- of Anywhere, Anystate, USA in January 2011. for granddaugher Jena Doe.
I have one my Nannie made that only says "Nannie 1977" I am working on a label to add to it explaining who Nannie was...because my grandchildren never had the privilege of knowing her and someday one of them will inherit this quilt and I want them to know who Nannie was.