Internet banking is one among the new technological innovation facing the world of banking today. In Tanzania, Internet Banking (IB) is still at its earliest stages and therefore a need for financial institutions to provide service of high quality to satisfy and attract customers. In view of the above, this study was carried out in two banks [Standard Chartered bank and National Bank of Commerce (NBC, 2000)] that offer IB services with the objective of assessing the factors that influence customer satisfaction with Internet Banking. The findings revealed that quality of service specifically ease of use and security influence customer satisfaction. For non-Internet bank customers, level of awareness was among the reasons as to why customers do not use IB services followed by security and higher charges for individual customers. The study recommends for the bank management to train customers on how to perform IB services. Promotion activities should also be conducted to attract...