Today aqua pollution is one of the major global threats. Untreated industrial effluent discharged into ecosystems pose a serious problem to the aqua living organism, plants and human beings. Among pollution causing industries, textile industry accomplish a major attention by environmentalists due to consumption of large volume of water, dyes and chemicals for various processing of textiles. Textile effluents contain carcinogenic aromatic amines, dyes, organic and inorganic materials. Removal of colored compounds from textile industry effluents by physico-chemical and biological methods is currently available. Biological decolorization of dye effluent is receiving much consideration due to cost effective and less regeneration by microorganisms such as bacteria, fungi, actinobacteria, yeast, algae, and plants. Recent promising research on biological decolorization of textile effluent has showed that variety of microorganisms and plants capable of decolorizing wide range of anionic and cationic dyes. This review article deals with the most deliberate part on the effects of various parameters like pH, temperature and dye concentrations and the dye removing efficiency of fungi and bacteria through biodegradation and biosorption mechanism performance. Current status and achievements of biological decolorization and remediation of textile dye effluents, in last few decades is briefly discussed in this article.