I prefer WOF for binding. WOF gives it just a tiny bit of stretch which I like.
The width I cut binding depends a lot on the type of batting used. I like thin battings, so usually 2" works well for me. However, I'm pretty sure that would not work well if I used Warm and Natural batting; for that I would probably go with 2.5" . If you are not sure, and the batting is the same as your last quilt, try going with 2.25" and see how that works for you.