In a statement Westpac said the rise in online transactions was behind its proposals.
"Currently more than 85 per cent of service transactions with us take place outside of a branch."
It has declined to comment further about the pending branch closures since then stating that it would talk when staff and customers were told the outcome of its decision.
Communities have been frustrated with the lack of consultation with them on the possible closures - many of which are in rural towns - and marches and meetings have been held around the country.
Westpac's move has been compounded by the ANZ which last week revealed it was considering up to five branches closures including Te Aroha and Otorohanga which are also on Westpac's list.
Shaun O'Neil, chairman of the Te Aroha business association which plans to hold a meeting tomorrow night to discuss the issues, said it was disappointing that Westpac and the ANZ were considering pulling out of the town given it was a growing region.
"Banks need to support our growth not try and slow it down."
He said Te Aroha was a wealthy community which the bank had benefited from and it should front up and be a good corporate citizen.
"They should be investing in towns."
O'Neil said from a personal perspective the closure would be more of a nuisance than anything but it would also hit the community in terms of sport team sponsorship.
Sharon Holt, who owns a business which publishes children's books in Te Reo Maori, said she moved to Te Aroha in December from Hamilton and the fact the town had a Westpac branch was factor she took into account.
Holt said many of her customers still paid by cheque and if the branch closed she would have to drive 20 minutes to Morrinsville to bank them.
She said changing banks was an even bigger hassle as it would involve having to tell all her customers about a change in bank account details.
"That is an incredibly huge mission."
Holt said a lot of people were moving into smaller towns like Te Aroha after selling their house and making a profit.
While people in Te Aroha and Otorohanga face both Westpac and the ANZ pulling out they will still have other bank branches in town.
Two South Island towns - Ranfurly and Fairlie - may be left with no bank branches and a drive of up to an hour to get to the nearest bank branch if Westpac pulls out of their towns.
Facing the chop:
According to First Union the Westpac branches that could be closed are: Kamo, Whangarei; Broadway Avenue, Palmerston North; Bishopdale, Christchurch; Gardens, Dunedin; Waikanae; Carterton; Raglan; Ranfurly; Te Aroha; Fendalton Mall, Christchurch; Putaruru; Whangamata; Takaka; Stoke; Wainuiomata; Te Anau; Fairlie; Otorohanga; Cherrywood, Tauranga.
