In today’s world competition among the companies is very severe, but most of the companies present nearly the same product or service with their competitors. In order to differentiate from a competitor’s a firm needs to offer superior services. It is known that higer service quality leads to more satisfied customers and higher customer satisfaction leads to customer loyalty. Servive quality takes the stage, and offers more satisfied and loyal customers, and in return more profit is gained than of your competitors. The purpose of this study is to evalute the determinants of customer satisfactiopn and the impact of service quality in North Banking sector. Customer satisfaction is related to customer loyalty and customer loyalty is related to the profitability of a bank. Customer satisfaction is an important aspect for service organizations and is highly related with service quality, they are all related to each other; as service quality gets better, customer satisfaciton level will also be increased and it will lead to more stable relationships between a bank and its customer leading to a higher level of loyaty as well as profitability.