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Originally Posted by mehndi mama 
FWIW, anyone with access to laundry facilities (and that would be anyone that washed their clothes instead of throwing them away after use) can afford to cloth diaper. Old towels, t-shirts and wool sweaters work great. http://fernandfaerie.com/frugaldiapering.html
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That's not true. Have you ever used pay laundry? I've totaled up how much it cost me to use cloth at $3.50 a load (which is how much it would cost), 1-2 loads a day, and it would cost considerably more than buying sposies! I suppose if I had a huuuuuuuuge stash and a place to air dry my diapers that would help. But I have two kids in diapers and no way could I afford a stash that big.
I used cloth for two years (and when we only had one baby we did use pay laundry for awhile, and that was affordable, it cost about the same as disposables were or a tiny bit less. Although when you factor in the $200 cost to buy the stash of diapers and covers we were actually paying more than sposies would cost).
If you have your own washer and dryer, it's totally cheaper to use cloth. We do have a washer and dryer but where we are living now there are no hookups. We can ONLY use pay laundry which we share with 4 other apartments, and all have multiple kids. I definitely would be using cloth if I could.
I also never heard or saw anything about G diapers saving water over cloth. If anything the water they use is just about equal to what we use when we use cloth. I thought that was common knowledge?
Personally, having used cloth, and regular sposies, and G diapers, I definitely prefer cloth. But I really don't have a lot of choices right now. Once I move (and a washer dryer hookup is going to be a priority), then I'll definitely have my kids back in cloth. I really do like the G diapers for now. I like that I'm not throwing fecal waste into the trash, they don't smell as badly and they don't give my kids rashes like regular disposables do, and I definitely think it's better to flush your waste (just like you flush toilet paper later in life) down the toilet rather than throwing it into a landfill.
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