According to the Confederation of Indian Industry (CII) report says that the Indian banking sector is expected to become fifth largest in the world by 2020. Being the third largest economy and with relatively lower domestic credit to Gross Domestic Product (GDP) percentage, there is a huge scope of growth for the banking sector. Banking is a service industry, and therefore, the quality of customer service plays a pivotal role in the prosperity of any bank. Good customer service leads to better customer relationship, higher customer satisfaction, increased customer loyalty and ultimately profitability. Private banking sector are now well capitalised to meet the stringent capital norms and also to lead the next leg of growth in the banking system. Now-a-days all private banks play a vital role in retail banking and provide lot of core banking services to all their urban and rural customers to maintain customer loyalty, retention and providing cent percent customer satisfaction and this will give more profitability. But there are some evidence that few private banks do not give importance to their retail customers with regard to maintenance of loyalty and customer satisfaction. In this regard, this empirical research paper will address the customers’ opinion on satisfaction and loyalty of a private sector bank in Vellore, Tamil Nadu. © Research India Publications.