The presented study focused on the development of green antibacterial / anticrease cotton and viscose fabrics using an environmentally benign functional finishing formulations. The obtained results demonstrated that co-application of citric acid / Na-hypophosphite (CA / NaH2PO2) as formaldehyde-free-ester crosslinking system, Na-alginate and carboxy methyl cellulose (CMC), as safe binding / fixing agents, along with bioactive cationic agents namely Chitosan and Choline Chloride or nano active ingredients namely Ag NPs, ZnO NPs and Al2O3 NPs using the pad-dry-cure method resulted in an improve in antibacterial and anti-crease functionalities with marginal decrease in finished fabric hydrophilicity. The imparted antibacterial functionality against the tested pathogenic bacteria as well as the enhanced fabric resiliency were affected by kind of cellulosic substrate, nature of binding / fixing agent as well as type of the functional additive. Furthermore, SEM and EDX analysis of selected samples further confirmed the surface modification and immobilization of the used functional additives onto the fabric. Additionally, an integrated modification and functionalization mechanism was also proposed.