Uncontrolled and hazardously infiltrating terrestrial, aquatic, and marine systems are microplastics (MPs) and Nano-plastics (NPs). Following the last use of plastics, particularly single-use plastics, which are generated as pollutants. Depending on the size, shape, chemical composition, duration, and intensity of exposure, MPs can have variety of consequences on both aquatic and terrestrial animals. MPs, both primary and secondary, can be damaging to the environment and people's health MPs can be removed from water and wastewater treatment plants using a variety of methods, including physical, chemical, and biological process. Whereas biological techniques for the removable of microplastic have produced superior outcomes. Plastics can be broken down into tiny particles by biological processes like bacteria, fungi, and algae, which can be further broken down by other microorganisms. Fungi can also contribute to the adsorption and accumulation of MPs, which can remove from water and wastewater. In this chapter, we look at how fungi are used in the treatment of fresh water and wastewater to remove the MPs. We also look at new developments in microbial degradation, the processes at work, and the challenges and limitations of MPs and NPs. Numerous studies have documented how fungi like Aspergillus fumigatus and Penicillium chrysogenum may break down and eliminate MPs from water. Fungal biofilms have been utilized in water filtration processes to remove the MPs. Using fungus to eliminate MPs from fresh water and wastewater is an effective, efficient, and affordable technique. This approach helps to lower MPs while safeguarding the aquatic ecology, human health, and people.