Milk, due to its affordability and nutritional value, can fortify the diets of families that experience food insecurity or find a high-quality diet cost-prohibitive. However, it can also be a leading source of excess calories and saturated fat. Yet, little is known about what influences consumer behavior of Supplemental Nutrition Assistance Program (SNAP) recipients toward the type of milk used or the prevalence of low-fat milk use among this population. This cross-sectional telephone survey of SNAP recipients (n = 520) documented that 7.5% of this population usually consumes low-fat milk, a prevalence that lags behind national figures (34.4%) for the same time-period. There was a weak association between sociodemographic characteristics of SNAP recipients and low-fat milk use. Instead, less low-fat milk consumption was associated with a knowledge gap and misperceptions of the nutritional properties of the different types of milk. Promoting low-fat milk use by correcting these misperceptions can improve the diet of America’s low-income population and reduce food insecurity by maximizing the nutritional value of the foods consumed.