Nano-sized silver particles (AgNPs) (6–8 nm) at concentration of 500 ppm were synthesized using hydroxypropyl starch (HPS) as both reducing and stabilizing agent. A solution containing AgNPs (500 ppm) was diluted with distilled water to 100 and 50 ppm and applied to cotton fabrics in presence/absence of binder. The finished fabrics were examined for morphological features and surface characteristics by making use of scanning electron microscopy (SEM) which reveals that AgNPs are deposited on the surface of fibrils (fabric fibres). The antibacterial activity of the treated fabrics loaded with AgNPs was evaluated against Escherichia coli (gram −ve) and Staphylococcus aureus (gram +ve) bacteria. Results explored that, regardless of the concentration of AgNPs used, the bacterial reduction, in presence/absence of binder was always higher than 95% without washing. However, binder retains excellent antibacterial properties even after 20 washing cycles reflecting the significance of binder in fixation of AgNPs deposits on the surface of the fabrics.