INTRODUCTION

In the organized segment, banking system occupies an important place in nation’s economy. It plays a pivotal role in the economic development of a country and forms the core of the money market in an advanced country. The commercial banks in India comprise of both Public sector as well as private sector banks. There are total 28 Public sector and 27 private sector banks are functioning in the country presently. Banks have to deal with many customers everyday and render various types of services to its customer. It’s a well known fact that no business can exist without customer.
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. Customer satisfaction is unambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and service to service. The state of satisfaction depends on a number of both psychological and physical variables.

BANKING INDUSTRY: AN OVERVIEW

For centuries banks have played an important role in financial system of the country. The vital role continues even today although the form of banking has changed today with changing need of the economy and individuals. With expansion of trade and commerce, the concept of banking gained importance. The banking transcended from individuals to groups and later to companies. During the Mogul period the indigenous bankers played a very important role in lending money and financing foreign trade in India. During British rule the agency houses carried on the banking business. The Banking system in India has