Unfortunately the "Estate Hall Access" setting hasn't worked for quite a few years and as you've found, it doesn't matter what you select, they can still enter the house.

From what I can gather it was changed because people were being forced to stay in FCs. Explaining further: To leave an FC you have to demolish your FC room and some FC owners were actually removing Estate Hall access so they were keeping that member in the FC. The member was unable to get into the house therefore unable to remove their FC room, so they were then stuck in the FC.

SE's solution was to always allow someone into the house so they could demolish the FC room (and then leave) and thus why it doesn't work now