Banking in India in the modern sense originated in the last decades of the 18th century. Among the first banks were the Bank of Hindustan, which was established in 1770 and liquidated in 1829-32; and the General Bank of India, established 1786 but failed in 1791. This research work takes a look at service quality and customers satisfaction in banking industries. Consumers all over the world have become more quality conscious; hence there has been an increased customer demand for higher quality services. The objective of this study is to assess the effect of service quality on customer satisfaction of HDFC bank. Rating the dimensions based on expectations and perceptions of service delivery that need to be improved, it revealed that,Banking should work towards enhancing on reliability, responsiveness, empathy, assurance, and tangibility dimensions respectively. The customer is the reason for the business and hence excellent service should be rendered at all time.In this paper service quality of HDFC bank is discussed and data is being collected from the customers.