I heard that anyone that knows my MySQL Username and Password can access it, Even if it\'s listening only to localhost.
Supposing my info is as following:>
I didn't see an answer that answered his (adjusted) question - he has locked it to localhost and the attacker is still getting in.
If you have truly restricted it to local host (check using netstat -an | egrep 3306 to check it is listening to 127.0.0.1 not 0.0.0.0), then the only way of accessing it is to originate a connection from that local host.
Initial steps to take:
He could be also getting through using:
accessing via some program you are running (eg a web server) that is externally accessible and has a security hole that allows him to run arbitrary sql commands through its existing database connection - see https://www.w3schools.com/sql/sql_injection.asp
tricking some program he has access to from outside to proxy a connection for him to localhost:3306 (eg through a miss-configured network firewall on the machine)
tricking some program to run a local program (bash. mysql etc), and from there gaining access to the database - buffer overflows and other specially crafted data is a common issue to running arbitrary code
man in the middle attack on a connection that has legitimate access
bugs in a program that is automatically or manually processing data from outside, eg email, processing of postscript/pdf/any document with scripting processing - even viewing a text file can be dangerous - see https://www.proteansec.com/linux/blast-past-executing-code-terminal-emulators-via-escape-sequences/
social engineering a way through getting people to give you access
managing to get a hardware device attached to a computer that has access (how many people will pick up a "memory stick" lying in the work car park and check it out instead its a "programmable keyboard", and ALL computers trust keyboards!)
and then many more all the other sorts of methods I don't know, but those that are involved share ...
Just remember that you need to have practical security, I think xkcd says it just right: https://xkcd.com/538/