ATM Services Research Articles

An Analysis of the Impact of Customer Perception on Commercial Banks Positioning: A Study on Government Commercial Banks

The banking sector becoming a very much competitive sector in Bangladesh. Day by day this competition is increasing. At present, there are 6 government commercial banks, 43 private commercial banks, 9 foreign banks, and 3 state-owned specialized banks are operating in Bangladesh. This research study is mainly conducted to find out the impact of customer perception on government commercial banks' positioning. The researcher tried to find out what customers think, what customers want from the government commercial banks, what must be changed to retain existing customers and attracting new customers, what services must be added comparatively to the private commercial banks and providing some recommendations are the main objectives of this research study. Here the researcher conducts a research survey over 100 respondents who are customers of government commercial banks for collecting primary data. The researcher also collects secondary data from different websites, books, and journals, and research papers. SPSS has been used for analyzing collected data for descriptive statistics, correlation analysis, hypothesis testing, and other general analysis. From the research study, it has found that customers are not happy with employee's behavior, ATM services of government commercial banks, number of ATM booths. They want more promotional advertisements from government commercial banks, more professionalism from the employees of government commercial banks, more simplicity in account opening and loan getting procedure. The researcher has found that customers have faith and believe in government commercial banks but as most of the time they do not get quick services from the government commercial bank so negative positioning is creating in consumer minds that will not be good for government commercial banks in the long run for their positioning as well as for their profitability. Keywords: perception, positioning. Government commercial banks, private commercial banks. DOI: 10.7176/JMCR/80-04 Publication date: July 31 st 2021

Service Quality of Traditional and Islamic Commercial Banks in Bangladesh

Purpose: This study aims to know the service quality of the different private commercial banks operating in Bangladesh with the rapid advancement in information technology and provide some guidelines to improve their service qualities. Methodology: The study used both primary and secondary data to support the objective. Primary data were collected from 240 customers, of whom 120 customers are from traditional private commercial banks and the rest from private Islamic commercial banks operating in Bangladesh using a structured interview schedule, naming SERVQUAL. The study used a convenience sampling method to select respondents. Secondary data were collected from different journals, newspaper articles, books, and various published sources. An independent samples t-test was conducted in the test of the hypothesis. Findings: This study found a significant difference between the traditional and Islamic commercial banks’ service quality and added that the study area’s customers/clients are not fully satisfied with either traditional private commercial banks or Islamic banks. However, Islamic commercial banks are showing a relatively better picture. Research Limitations: The Study is limited to Bangladesh’s small marginal market and a small sample size of only 240 respondents, which cannot sufficiently reflect the large population’s actual scenario. Practical Implications: The Study will help manage the traditional and Islamic commercial banks and policymakers to improve their service quality and improve monitoring efficiency. Originality/value: The Study extensively identified some factors to improve the traditional and Islamic commercial banks’ service quality for both the banks’ and policymakers’ management. In this regard, the critical factors can be the number of employees and the number of counters, increasing ATM services, ensuring faster services, flexible loan disbursement policy, sufficient floor space, suitable sitting arrangements, and improved online services.

The effect of web-related features on intention to use online banking of ATM users

This study aimed to determine the intention of ATM users in Jordan to use internet banking services by investigating the effect of web-related features on their intention to use internet banking. The study sample was randomly selected. The results indicated that the level of internet banking usage among employees who use the ATM service is still underutilized. Also, computer self-efficacy significantly mitigated the effect of perceived risk, website quality, and perceived benefit on customers' intent to use online banking but did not significantly mitigate the impact of perceived use and compatibility on customers' intent to use online banking. The results can be useful for commercial banks that have implemented online banking in all their applications or are planning to do so. The study also provides benefits to academic researchers interested in the topic researched, commercial banks, commercial bank customers.

Customer Satisfaction Towards ATM Service In Nepalese Banking Sector

This research is intended to examine the relationship between reasonability of fee charged, choice of ATM, usage of service and post purchase behavior and customer satisfaction. The research has used primary sources of data. A well-structured questionnaire was designed to collect data from 200 respondents using purposive sampling technique. The data was analyzed using correlation. The findings revealed that there was a positive and significant relationship between reasonability of fee charged, choice of ATM, usage of service and post purchase behavior and customer satisfaction. The research is afresh study in the field of banking sector in Nepalese context. There is an implication of research in the banking sector.

Effect of Information Communication and Technology (ICT) on the Performance of Financial Institutions in Ghana; A Case of Barclays Bank Ghana Limited, Sunyani Branch

The study sought to examine the contribution of Information and Communication Technology (ICT) on performance of banks in terms of service delivery in financial institutions in Ghana. The high competition in the Ghanaian banking industry has forced rapid changes as a result of technological innovation, increased awareness and demands from customers. The study adopted both exploratory and descriptive research design. Qualitative research method was used in collecting data and data was analyzed qualitatively. The main instrument for collecting data was the structured questionnaire. A sample size of 50 respondents consisting of 8 staff members and 48 customers of Barclays Bank was used for the study. A structured questionnaire was the main data collection instrument. The purposive and systematic sampling techniques were used to obtain the required sample size. The main tool which was used for the data analysis was Statistical Package for Social Sciences. Frequencies and percentages were used to present the data in a tabular form. The limitation affecting the study was time and financial constraints. The study revealed that ICT has an appreciable positive effect on performance due to improved customer service delivery. This affects the growth of Barclays Bank. ATM service flaws such as withdrawal discrepancies, issuance of faulty cards and long time for applied ATM cards to arrive deter most customers from accessing the service. Following from this study, it is recommended, Barclays Bank enhances the performance of their ATMs and their networks to increase customers satisfaction.

THE ANALYSIS OF THE EFFECT OF THE ATM (AUTOMATED TELLER MACHINE) SERVICE DIMENSIONS ON CUSTOMERS SATISFACTION AT PT BANK PEMBANGUNAN DAERAH JAWA TENGAH BRANCH OFFICE OF KUDUS

<p><em>This research aims to identify factors - factors the quality of service that consists of tangible, reliability, responsiveness, assurance, empathy to customer satisfaction PT. Bank Pembangunan Daerah Jawa Tengah Branch Office of Kudus. </em></p><p><em>The population of this research is all of the customers at PT. Bank Pembangunan Daerah Jawa Tengah Branch Office of Kudus. The sampling technique uses the Accidental Sampling Method amounting to 100 customers. The data used in this research is the primary data obtained through the distribution of questionnaires. The data analysis model uses the Multiple Linear Regression Analysis Model. Meanwhile, data analysis techniques use the Statistical F Test, Coefficient of Determination (R2), and statistical t-Test.</em></p><em>The results of t test are obtained the effect of variable responsiveness, assurance and empathy that significantly influence customer satisfaction of PT Bank Pembangunan Daerah Jawa Tengah Kudus Branch Office. Meanwhile reliability and tangible have no significant effect. In F test, it is found that the dimension of ATM Service quality tangible, reliability, responsiveness, assurance, and empathy simultaneously have significant effect on the satisfaction of customers</em> of <em>the Central Java Regional Development Bank of the Branch Office</em>

Customer Satisfaction Regarding Private Sector Banks in Gujarat

This paper attempts to measure and find out the quality of services and customer satisfaction level in terms of private sector banks. The paper also slightly shows the comparison between Public sector and Private sector banks related to the customer satisfaction. The research is based on Gujarat which is a state of India. Data collection, data formulation and structuring and data interpretation is based on 423 samples. In terms of private sector banks ICICI, IDBI, HDFC, AXIS Bank, YES Bank, RBI Bank, Kotak Mahindra Bank, IDFC Banks are taken as they are market leaders. ATM facility, Online banking facility, Mobile Banking Facility, Current account, Fixed Deposit, Saving Account, Physical Environment, Competitive Interest Rate etc. has been taken as parameters. From the research, it has been found that there is relationship between service quality and customer satisfaction. We are living in digital era. Almost all the banks are trying to acquire and implement digital facilities. From our research, we also found that majority of the clients are satisfied with mobile banking, online banking and ATM services of the private sector banks. The paper also reveals that the clients are not much satisfied with the behavior of the bank staff of the public sector banks. Age, gender, occupation of the clients are also taken into consideration while preparing the paper.

Customer Preference towards Use of ATM Services

Automated teller machines have altered the relationship between banks and their customers and competitive relationships among banks. ATMs are self-service vendor machine it permits customers to do anywhere, anytime banking both the bank and customers stand to gain in several ways. In contrast, ATMs bring down the cost per transaction, increase efficiency by reducing the workload of staff, they help to increase accuracy, speed, save time, money and effort of customers. Thus ATM impacts customer services and leads to better customer satisfaction. They enable the bank to transact more business by offering various services in a cost-effective way on one side and to get more customer satisfaction on the other. To analyze the relationship between demographic variables and preferences to use ATM, a structured questionnaire was used to collect the data from a random sample of 50 customers from a syndicate bank in Bhadravati, percentage analysis and chi-square test are applied for data analysis and interpretation. Finally, it attempts to offer suitable suggestions and conclusions to enhance the awareness of ATMs and other related modern services provided by the banks.

RETAIL BANK ATM’S SERVICE QUALITY AFFECTING CUSTOMER SATISFACTION: AN ATTEMPT TO DRAW THE ATTENTION

The study presented here is an attempt to draw the attention of bankers towards the factors that has an influence over the satisfaction of customers regarding the ATM services provided to them. The study made use of primary data which was collected through a questionnaire. The sample size of the study was 100 and the respondents were selected randomly from Chennai. Findings of the analysis show that most of the service quality have positive gap only eight service quality attributes have high expectation in retail bank service but the perception of service quality is very less. Hence it is concluded from the study that only eight attributes exhibit negative gab.

 Electronic Banking: an Object of Fallacy or System of Functionality Samuel Affran Abstract — Corporate managers in the banking industry have employed series of strategies to lure many customers to patronage their categories they offer for sale. One of s

Corporate managers in the banking industry have employed series of strategies to lure many customers to patronage their categories they offer for sale. One of such is E-banking. These technological services are introduced by banks with the objective of providing customers with rapid services, with cost efficient. The situation tends to be different in this part of the world. Most of these services partially exist and if it fully does, it comes with unprecedented system failures. Based upon this premises this study is conducted exploratory to find out what really constitutes electronic banking from the Ghanaian perspective and also to ascertain their linkage with customer satisfaction. A total number of 200 questionnaires were administered. Cross-sectional survey was employed using questionnaire as the principal tool for the data collection. A 5-point Likert- scale ranging from 1 (strongly disagree) to 5(strongly agree) was used to measure the constructs. With the aid of SPSS version 23 the data was analyzed to establish the empirical linkage of the underlying constructs. The study among other things brought to the fore three (3) determinants (Automated Teller Machine, Mobile Phone Banking, Internet or Online banking) that define e-banking from the Ghanaian perspective proving that it is a system of functionality that is established for specific strategic purpose better still because of inefficient execution it was also proven to be an object of fallacy in the sense that having it does not necessary leads to customer satisfaction. The data analysis also shows that statistically between automated teller machine and customer satisfaction there is positively very weak relationship (R^2= .181, p< 0.126). Meaning holding all other variables constant, automated teller machine will cause 18.1% change in customer satisfaction. It is proven by the results that, automated teller machine not only weak in explaining the relationship but the impact is also not significant as the significant level is 0.126 which is above the standard significant value of 0.05. Meaning the automated teller machine if it is not administered efficiently and effectively will have the tendency to impact on customer’s satisfaction insignificantly. This presupposes that the automated teller machines in question were not administered efficiently and effectively. Thus this study has proven empirically that it is not a forgone conclusion that having an ATM services will automatically leads to customer satisfaction making the assertion a fallacy in Ghana thus disproving the study by Sultan and Komal (2009) claiming that having an automated teller machine services will automatically lead to customer satisfaction. The study revealed that relationship between mobile banking services and customer satisfaction is positively very weak (R^2= .170, p< 0.171). This simply means that mobile services rendered by banks to their customers were seriously criticized as woefully inadequate. Thus, holding all other variables constant, mobile banking services causes 17.0 % change in customer satisfaction. This result proves that a unit change in mobile banking service will induce 17.0% change in the rate of customer satisfaction. In other words when the level of mobile banking services is improved by 1% it will lead to 17.0% increase in customer satisfaction which is quite negligible. The significance level of this outcome in reference to the study results was 0.171 which is greater than the standard value of 0.05 indicating that the variance between mobile banking services and customer satisfaction was not significant. Internet banking services were quite effective and efficient thus having positive significant impact on customer satisfaction (R^2= .211, p< 0.003). But the relationship is equally weak explaining only 21.1% of customer satisfaction within the Ghanaian banking industry. The statistical understanding is that unilaterally internet banking service has the empirical tendencies to increase customer satisfaction by 21.1% if these services are improved just a percentage change. The practical connotation is that managers need to make automated teller machine more secured and very convenient spreading it across the length and breadth of the country. It should be in good function (twenty-four hours a day), accessible at all times (weekdays and weekends) and user-friendly as well. Again, managers should be proactive in sending message to customers whenever their system is malfunctioning in order to win customer trust. They should be ready to accept their mistakes and improve on customer complaint. They should avoid the rationalization of system failure which tend to put customers off serving as a catalyst for customer drifting. Again, internet connectivity should be reliable to boost mobile banking services. The banks should create more mobile apps for the various product categories. To sum up more resources should be allocated to online products since it is proven to be the only determinant significant in explaining customer satisfaction.

The Mediating Effects of Customer Satisfaction in the Relationship between ATM Service Quality and Customer Loyalty – A Case Study from Bank of Kigali

The current competition from both national and international markets has created a new assignment for companies to give serious consideration to providing a high quality of service to satisfy and maintain customers. This paper aimed to analyze the effects of ATM service quality on customer satisfaction and customer loyalty. The Bank of Kigali has been chosen as a case in this research. For this investigation, primary data was collected from 284 respondents from Bank of Kigali through a structured questionnaire. Collected data were analyzed with SPSS (Statistical Package for the Social Sciences, 23.0) according to the objectives of the present research. Results of the statistical analysis indicate that the age group of 26-35 dominates with 59.2% of total respondents, with males showing dominance in terms of gender with 75% and 54.2% of respondents being graduates. The study reveals that there is a significant relationship observed between service quality and customer satisfaction, and customer satisfaction and customer loyalty. However, an insignificant relationship has been observed between service quality and customer loyalty. Therefore, the Bank of Kigali must maximize the quality of services offered to its customers through ATMs to create a good brand image and gain loyalty from users.

Digital Banking and Financial Inclusion of Women Enterprises in Narok County, Kenya

Financial inclusion is an important step in development, as access to finances can help the women to build money and lift themselves out of poverty. Lack of financial inclusion among women in Narok County is one of the many factors leading to financial exclusion and an introduction of digital banking is the remedy to its problems. Financial inclusion of women contributes immensely in empowering them. Digital banking in Kenya has been characterized by rapid technological change in the finance sector that has led to the development of mobile banking, online banking, ATMs and agency banking. The banking sector has undergone substantive transformation particularly from the year 2007. This study sought to establish the effects of digital banking and financial inclusion of Women Enterprises in Narok County, Kenya. Financial inclusion includes the provision of affordable financial services, which includes; access to payments and remittance facilities, savings, loans and insurance services by the formal financial system to those who tend to be excluded The study was anchored on finance growth theory and financial asymmetric theory. This study used descriptive research design and data was collected from the target population of all the 184 women owned enterprise in Narok County, Kenya. For this study census sampling was adopted to where all the population will be included in study since the number of target population is 184. Primary data was collected using a semi structured questionnaire to be administered to the women business owner through face to face interviews. The collected data was analysed using descriptive statistics methods; mean, mode, median, standard deviation, percentages and frequencies. Inferential statistical methods included multiple regression analysis was used to establish the relationship among variables. It was established that digital banking services significantly and positively influenced financial inclusion of women enterprises in Narok County. The study concluded that agency banking, mobile banking, online banking and ATM services significantly influenced the access and use of banking services by the locally based women enterprises in Narok County. It was further concluded that the women enterprises did not adequately use online banking due to limited literacy level, computer proficiency and internet availability. The study recommends that the available financial sector players in Narok County needs to sensitize SMEs especially women-owned to ensure that they are aware of the digital services available to be in the loop to enhance financial inclusion. The study recommends that the available digital banking providers need to improve formation of groups among the users of the services to enable improve usability. The study recommends further that the women enterprises managers and proprietors need to be in groups to develop each other and assist access, use and improve digital banking and financial inclusion.

Model of Agents-Based Branchless Banking Services Development in Urban and Rural Area

The banking sector has experienced a far leap related to Information Communication and Technology (ICT)-based services. Among them is e-banking that has been used by the community, especially in urban areas. Likewise, the use of ATMs can be used to provide banking services to the wider community, so that it can replace most of the functions of services in banks. However, in communities outside of urban areas such as rural communities there are still limitations in accessing e-banking and ATM services. Limited use of e-banking because this service must use internet media or smart phones to access. Meanwhile, the limited use of ATMs due to the availability of ATMs in rural areas is not as much as in urban areas, considering that rural areas are areas with low settlement densities. Today, banks in Indonesia have provided branchless banking by enabling agents. Branchless banking is found in urban, suburban and rural areas. In previous research, the existence of branchless banking in the form of agents and their utilization by customers has been identified. From previous studies, maps of agent and customer density and analysis related to the condition of regional accessibility have been produced. This research is a further study focusing on sub districts area with high agent density in both rural, suburban and urban areas. The purpose of this research is to analyze the development model of agent-based branchless banking services. Data was collected through primary data through observation, structured interviews and measurement of coordinates of the location of agents and banking services in the form of ATMs and Banks. The final result is expected to be used as a model for the development of branchless banking services in Indonesia.

The Treasury Dollar Act of 2020

This Bill would convert the Department of Treasury's existing 'Treasury Direct' system of universally available transaction accounts in Treasury Securities into a publicly administered digital savings and payments platform. A platform of this type is an essential public utility, hence a requirement of justice, in any 'commercial society' or 'exchange economy' such as our own. It is also growth-promoting, inasmuch as growth-tracking GDP is a measure of transaction volume, while transaction volume in turn is a positive function of speedier, more efficient, and more inclusive transacting. In this sense the prescribed system amounts both to a justice gain and to an efficiency gain. The Bill prescribes achievement of its aim through two surprisingly simple steps, enabling full specification of what it mandates in only two pages exclusive of Findings and Definitions. First, Treasury is instructed to issue a new class of zero coupon perpetual Treasury Bill - the 'Treasury Dollar Bill,' or 'Treasury Dollar' - valued at precisely one Federal Reserve Note (a.k.a. 'dollar bill') per Treasury Dollar. The Treasury Dollar is deemed legal tender, sufficient to discharge all obligations public and private, on a par with Federal Reserve Notes. It is in effect identical to the Federal Reserve Note (again, the current 'dollar bill') in respect of all attributes save its issuer. Second, Treasury is instructed to add phone-accessible digital wallet capability to all Treasury Direct Accounts, such as to enable direct peer-to-peer transacting in 'real time' both among all wallet holders inter se and between wallet holders and the public fisc. The U.S. Digital Service, an executive agency housed within the Executive Office of the President of the United States, is instructed to design and implement the digital wallet capability in collaboration with Treasury. In addition to all citizens and legal residents of the United States, all businesses too will receive Treasury Direct wallets, and all bank and thrift institutions will be required as a condition of chartering to afford the same access to ATM, e-banking and other services to customers transacting in Treasury Dollars as they do to customers transacting in Federal Reserve Notes. What the bill prescribes is not as exotic as some might first think. In the roughly 70 years between the Banking, Currency, and Legal Tender Acts of the Civil War era and the founding, then Note-issuance, of the Federal Reserve System well into the 20th century, Treasury issued the nation's primary currencies - best known among them the 'Greenback.' (Hence the name of that Treasury office which serves as one of our three primary bank regulators - the 'Comptroller [i.e., Controller] of the Currency.) What this bill institutes is accordingly no more than the restoration of currency issuing authority, in parallel with the Fed's continuing such authority, to our more democratically accountable Treasury. Where new issuance is concerned, Congress may choose to limit the use of this authority to crisis situations in which immediate 'helicopter money' drops are necessary, or may authorize more continuous use of it for periodic disbursements of other kinds. In all such cases Treasury will of course have to coordinate with the Fed to avoid any possible disbursement-caused instability of the national money supply. What matters most at present is that the architecture be in place, so that all citizens, legal residents, and businesses operating in the United States have immediate access to savings and payments services free of any charge. Use of paper currency does not require fee payments; neither should use of digital currency.

Customers' Satisfaction in ATM Service - Empirical Evidence from the Leading Bank in Ethiopia

Service offering channels in banking sector has emerged on scene with a variety of forms such as internet banking, mobile banking, and ATM. Mature competition and global finance system have forced to investigate the significance of customer satisfaction. This study was set to assess customers’ satisfaction in ATM service by taking the case of Commercial Bank of Ethiopia (CBE), which is the leading bank in the country, using SERVPERF model. A self-administered questionnaire was used to collect primary data from 385 valid respondents who are customers of CBE, using convenient sampling technique. Data were analysed using SPSS - frequencies and percentages, mean scores, Cronbach alpha, Pearson’s linear correlation and regression analysis. The study was based on the three research objectives: (a) to measure whether ATM service quality corresponds to each dimensions of SERVPERF (b) to analyze the customer satisfaction on ATM service quality, and c) to investigate the level of customer satisfaction. The findings revealed that all the service quality dimensions are significantly and positively associated with the overall customer satisfaction. Besides, Tangibility, Reliability, Responsiveness, Empathy and Assurance are highlighted as significant predictors and key factors in determining the customer satisfaction. But Assurance was found as the most influential predictor of customer satisfaction. The researchers recommend that in order to ensure customer satisfaction improving the performance on all the dimensions of (ATM) service quality is imperative.

Perception and Opinion of Customers towards ATM Services with Special Reference to Kurdistan Region

Modern technology has changed human life by making it faster and easier. Technology innovation emerged as source of competitive strength and can achieve success through new innovation. ATM plays vital role in banking industry by providing all necessary banking facilities in easy and handy way to their customers at their doorstep. As Kurdistan is growing economy, therefore to assess perception and expectation of ATM customers, 315 respondents from different places of Kurdistan region were taken into consideration. This study is based on personal approach and observation. Structured questionnaire administered after taking opinion and modification by banking personal, customer discussion and review of literatures. For the convenience of respondents Likert measurement scales was used. To identify most service quality dimensions in connection with overall customer satisfaction; reliability test, descriptive analysis, correlation and coefficient and regression analysis test and ANOVA tests are done through SPSS 25.0. At the end it is concluded that most of factors are positively, significantly correlated with overall customer satisfaction. Based on personal discussion with customers and bank officials’ and literature reviews, recommendations are mentioned at the end.

Banking Customer Attitudes toward ATM Service in Nepal

This research aims to examine factors influencing customer attitudes toward ATM service. This research followed the descriptiveresearch design for fact-finding and identifying adequate information about factors influencing customer attitudes towards ATMservice in Nepalese commercial banks. This study is based on primary data. For the survey, 150 questionnaires were distributed toATM user customers. Out of 150, only 121 (80.67%) usable questionnaires were returned. The results show that most of the customers have positive attitudes towards ATM services in terms of responsiveness, convenience, ease of use, and speed. It isevidenced that Nepalese commercial banks have adopted ATMs as the way for providing efficient and effective services to theircustomers.

Using FAHP and CBR to evaluate the intention of adoption of internet banking service: The example of web ATM

This research combines the Fuzzy Analytic Hierarchy Process (FAHP) with Case-Based Reasoning (CBR) to evaluate the intention of adoption of web ATM services. Compared with physical ATM service, web ATM allows users to perform financial transactions over the internet conveniently. Based on literature and considering the characteristics of web ATM, this study constructs a model for web ATM adoption that comprises three dimensions: The knowledge, the potential value, and the security. 222 valid user questionnaires are collected, and factor analysis is used to verify the factor structure of the decision hierarchy. FAHP is then used to calculate the weights of criteria with six experts through pairwise comparisons. Finally, FAHP weights are integrated into a CBR prediction mechanism for evaluating a user’s adoption intention toward web ATM. The results are helpful for financial institutions to understand and to evaluate the user behavior toward internet banking service adoption.

The use of artificial intelligence technology in the process of creating an ATM service model

Abstract On the basis of the research of statistics on ATM operations with the technology of cash recycling, which contains records on collection, as well as on depositing and withdrawing cash, an analytical model has been developed to reduce the number of cash collection while ensuring a sufficient number of banknotes to meet the demand of the bank’s customers in a timely manner.

Determinants of Customer Loyalty towards Bank: A Probit Regression Based Approach

In present days banks realize the importance of customer loyalty and its potential to help them acquire new customers and retain existing ones and maximize their lifetime value. This study employed the binary probit model to investigate the determinants of customer loyalty to the banking sector of Bangladesh by interviewing 1000 randomly selected bank customers. It reveals that the levels of loyalty were high among customers of private commercial and development banks relative to customers of government banks. Although customer loyalty was observed as a key determinant of a customer’s satisfaction with a bank, these were indeed related to the levels of services provided to the customer. Good ATM services promote customer’s convenience and flexibility thereby ensuring loyalty. For reducing the difficulties in choosing a proper banking scheme proper guidance from bank staff is another determinant of customer loyalty. Adequacy of other banking facilities like mobile banking and availability of help counter in bank causes a customer to be loyal to a bank. Also, in order to increase loyal customers, banks should consider establishing branches at convenient locations to bring banking to the doorstep of their customers. Overcrowding in the banks and increasing the time taken to transact for this reason customers have to wait too long loyalty may decrease. Thus sufficient seating arrangement in banks has influence in increasing customer’s loyalty. In order to increase the customer’s loyalty bank must take all complains and problems seriously and solve them using advanced technology.