''The people in the community there now have no branch to turn to.''
It was the last bank in Milton - population about 2000 - after the Westpac branch shut in 2014.
Four staff are understood to be affected by the closure and were being offered jobs in Dunedin or Christchurch.
Ms Williams said the redeployment options were unrealistic for some people.
She was disappointed and angry about the decision but was not surprised.
''All of these proposals so far have turned into reality both with Westpac and ANZ.''
Westpac confirmed two weeks ago 19 of its branches would close by November 2.
Ms Williams said people were starting to question whether the consultation process meant anything at all when the decision seemed predetermined.
Clutha District Council Bruce ward councillor Gaynor Finch said the move to shut the town's last bank was ''disgusting''.
''They've been cunning and underhanded, so far as I am concerned.''
She said it was clear the bank had no intention of keeping the bank open from the moment the proposal was announced last month.
''It was like they were just going through the motions just exactly the same.''
It was a ''step backwards'', she said.
Cr Finch said a lot of the Milton community switched banks from Westpac to ANZ because of the last closure and expected many would change again.
She was concerned about the impact the closure would have on the elderly, and local businesses.
''They're just shutting down all of our rural communities.''
Clutha Mayor Bryan Cadogan said the whole process was a ''pantomime''.
He said it was cruel on staff who were ''muzzled'' and unable to comment throughout the consultation period.
''The part of the process that is supposed to be taken seriously is actually just a pantomime.''
It seemed pretty clear the bank was going to shut and Mr Cadogan was not surprised.
Previous statements from ANZ said the number of customers using the Milton branch had declined to the point where it was considered no longer viable to keep the branch open.
Bruce ward councillors Bruce Vollweiler and Selwyn Wilkinson could not be reached for comment.