Knowing they're going to experience lots of washings, I bind baby quilts by machine. I suppose it could be considered cheating because I don't use a separate binding at all. The way I do it is to use the backing fabric as binding:
After quilting, I trim the batting even with the edges of the top, but keep the backing about 2" larger all the way around. Then to bind it, I fold the edge of the backing over itself once to enclose the raw edge, then fold it over onto the front of the quilt top. I pin it and zigzag stitch it down (from the top side of the quilt). I miter the corners so they lay well and I find that part a bit tricky simply because I need more practice at that.
I hope I've explained this well enough. I'd post a picture, but I don't have any of the quilts I've done this technique on.