A 37-year-old man developed an unusual fungal skin infection around his mouth caused by Naganishia albidus, a rare yeast. He was initially misdiagnosed with eczema and his condition worsened with wrong treatment. Advanced fungal testing techniques helped identify the correct organism, and after six weeks of antifungal medication (both oral and topical), his skin completely cleared. This case shows why doctors need to consider rare fungal infections when skin problems don’t respond to typical treatments.