The US Census says the US has a literacy rate of 86%. This is a controversial metric, though. The CIA factbook defines literacy as having completed 5 years of schooling. By that definition, the US is at 97.9% literacy. Better than your 95% number, but not Nordic country levels.

Also, shantytowns aren't really allowed to exist in the US. They are becoming more common in progressive cities like San Francisco and Seattle, but even there the cops sweep through and make everyone leave every few months. There is no "bulldozing" because the structures are highly temporary, being made of old tents and tarps. You just don't see the multi-generational shantytowns common in developing nations.

Public benefits aren't very easy to get in the US. There is a lot of beaurocracy to work through and there really isn't any push to help people sign up.