Discussion

Explanation:

In sentence 1, customers don’t have to service themselves. Rather, they have to serve themselves.
Service in option 2 means ‘intended for use in supplying or serving’. In that use, we have examples like service elevator or service entrance. The same can mean ‘something used for maintenance or offering repairs.’
‘Servicing the loan’ as in option 3 means ‘paying interest to clear off debt (loan)’ and has been used correctly. 
Service in option 4 can mean ‘armed forces of a nation’ or ‘a government branch’. 

Hence, the correct answer is option 1.

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