Credentials when Installing Windows Service

In the project that contains the service, add an Installer class. Make it look something like this:

[RunInstaller(true)]
public class MyServiceInstaller : Installer
{
    public MyServiceInstaller()
    {
        ServiceProcessInstaller serviceProcessInstaller = new ServiceProcessInstaller();
        serviceProcessInstaller.Account = ServiceAccount.LocalSystem; // Or whatever account you want

        var serviceInstaller = new ServiceInstaller
        {
            DisplayName = "Insert the display name here",
            StartType = ServiceStartMode.Automatic, // Or whatever startup type you want
            Description = "Insert a description for your service here",
            ServiceName = "Insert the service name here"
        };

        Installers.Add(_serviceProcessInstaller);
        Installers.Add(serviceInstaller);
    }

    public override void Commit(IDictionary savedState)
    {
        base.Commit(savedState);

        // This will automatically start your service upon completion of the installation.
        try
        {
            var serviceController = new ServiceController("Insert the service name here");
            serviceController.Start();
        }
        catch
        {
            MessageBox.Show(
                "Insert a message stating that the service couldn't be started, and that the user will have to do it manually");
        }
    }
}

Then, in the solution explorer, right-click on the deployment project and select "View > Custom Actions". Right-click on Custom Actions, and select "Add Custom Action..." Pick the Application Folder and select the primary output of the project that contains the service. Now the custom actions (Commit from above) will be executed upon installation. You can add the additional methods (Install, Rollback, Uninstall) if you need other custom actions.

Check this Link: http://msdn.microsoft.com/en-us/library/zt39148a(v=vs.110).aspx

Pay attention to this section: To create the installers for your service

Make changes to your ServiceProcessInstaller:

In the designer, click ServiceProcessInstaller1 for a Visual Basic project, or serviceProcessInstaller1 for a Visual C# project. Set the Account property to LocalSystem. This will cause the service to be installed and to run on a local service account.

1. Open your ProjectInstaller
2. Right click the ServiceProcessInstaller and choose properties
3. From the Account drop-down, under Misc, select the account you want your service to run as

For details of the different accounts and their privileges see the following link:

http://msdn.microsoft.com/en-us/library/system.serviceprocess.serviceaccount.aspx

Add this code to your private void InitializeComponent() method in projectInstaller.Designer.cs file in your windows service project.

this.serviceProcessInstaller1.Account = System.ServiceProcess.ServiceAccount.LocalSystem;

if the definition of you process installer is:

private System.ServiceProcess.ServiceProcessInstaller serviceProcessInstaller1;