Is It Safe to Use a VPN for Banking?

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According to a survey done by, about 30% of consumers said that they were uncertain whether or not to use a VPN when shopping online because there is always the chance that any information you submit can be intercepted and used against you.

The problem with this apprehension is that cyberthreats continue to evolve and affect users who bank online – either directly or indirectly – including those who only do it occasionally and professionals engaged in e-commerce activities for their businesses.

Therefore, everyone needs to know what measures should be taken so as not to become a victim of hackers: especially if banking and other financial transactions are done over the internet via a Virtual Private Network (VPN), which scrambles your Internet traffic and routes it through a distant connection to keep your data from prying eyes.

What Is A VPN?

VPNs encrypt the data you send over an Internet connection using various kinds of security protocols (e.g., PPTP or L2TP/IPSec) that protect them against unauthorized interception; hence, making them ideal for banking safely. They also mask your IP address (your online identity), making it impossible for hackers to track you.

However, they help keep your personal information safe while surfing the internet and when using public WiFi hotspots (e.g., at an airport or café). Thus, VPNs can be helpful when logging onto websites that require sensitive data like passwords, Social Security numbers, and bank account details.

This information is encrypted before being sent to the website’s servers which means that no one along the way can access it without proper authorization (i.e., by decrypting it).

What Are The Benefits Of Using A VPN?

Since VPNs encrypt all your internet traffic, including your passwords, logins, and bank account data, thieves find them a big problem. That’s why a VPN is the best solution for those who want to protect their privacy and remain anonymous when surfing the Web, especially since hacking activities have become increasingly popular nowadays.

In addition, companies, organizations, or even government institutions use VPN technology to establish secure Virtual Private Networks between one another over the internet, allowing them to share valuable, sensitive information by simply logging on via a shared connection.

Once you have subscribed to a paid service, installing and using it is pretty easy compared to setting up a username/password-protected WiFi hotspot on your computer.

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Any of your mobile devices or home console will automatically connect whenever a public network is available, allowing you full access without having to enter any additional information.

Another reason why VPNs are popular nowadays is because they allow users to surf the Web freely and securely by bypassing geo-blocking, which limits access to certain websites based on your location (e.g., Netflix blocks subscribers from watching any videos while abroad).

And censorship laws in some countries like China where specific social media sites or search engines are blocked due to governmental policies.

In addition, a Virtual Private Network scrambles all of your traffic that comes and goes through your ISP. Hence, you remain anonymous when shopping online – whether for banking or making transactions with other companies: e.g., PayPal, Amazon, Skype.

Every time you connect to the internet, no matter where you do so from, VPNs track your activity, including which websites you visit, what you look for when shopping online, and the people you communicate with.

Is it Safe to Use a VPN for Banking?

Online banking is becoming more popular than ever before, with many banks now encouraging their customers to bank online rather than use telephone or face-to-face methods. This has made keeping your money secure even more critical than it already was.

Many people are turning towards virtual private networks as an additional layer of security when accessing financial information over public WiFi hotspots or other unsecured networks. But are these services worth it? And are they safe to use?

Possible Dangers of Using a VPN for Online Banking

There are several things to consider before using a VPN.

First, never use public WiFi to access your financial information. There is always the chance that someone could intercept this information, even on an unsecured network.

Second, you need to find out if your bank takes extra security measures when you’re accessing their website through VPN protocols. Some banks may choose not to display sensitive data or personal details when logged into them through specific IP addresses or locations that appear unusual.

This could result in you having some trouble logging in! It’s also worth considering whether using a VPN might cause problems with your online banking. It certainly has done some cases, primarily where users have found themselves locked out of their accounts.

Finally, the safest option is to use your VPN client in conjunction with a secure Virtual Private Network service so that you can keep yourself safe while still accessing your finances.


So, when it comes to banking online through unsecured networks, is it safe to use VPN software? The answer is no, but there are ways around it.

For example, you could use two separate devices (e.g., laptop and smartphone) for internet banking, or use an alternative browser on your device for connecting to online banking sites like Internet Explorer instead of Google Chrome, Mozilla Firefox, etc., which would allow you to anonymize your search history and help protect against hackers using this type of software.

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Recommendations to keep your money safe when using VPN

1. Check the company behind the service. VPN services come with various names, but they all share certain features similar to reliable sources of protection against lurk hackers.

2. Check the privacy policy of your VPN service provider. VPN services help keep your sensitive information safe, so you should check the privacy policy of your service provider before subscribing to their paid service.

That’s because most free services retain activity logs to sell them to third-party companies, which makes it easy for thieves to access your data. A good way of knowing how much freedom is given concerning retaining user data is by reading their End-User License Agreement (EULA).

3. See if only specific traffic is encrypted or all of it. VPNs encrypt all of your traffic that comes and goes through your ISP, which means that using one protects your identity and sensitive information.

4. See if the encryption is 256-bit or 128-bit. The higher the number of bits, the better the encryption. That’s why 256-bit is considered to be stronger than 128-bit, which hackers can easily decrypt.

5. Consider using a VPN with DDoS Protection and Malware Protection Services. DDoS or Distributed Denial of Service attacks is becoming increasingly popular nowadays. This means that a VPN with this type of protection will keep you safe from malware as well as hacking activities.

In addition, an excellent way to find out if a service has these additional services is by reading their privacy policy since those who have been hacked in the past are now well aware of these security comforts, and they mention them in their policies.

Some VPNs even offer services such as NAT Firewall, which protects you from DoS attacks and filters internal traffic, so only the types of information you permit will be allowed to go through while keeping your computer safe from malware.

6. Use a Virtual Private Network service with its own servers and is not shared with anyone else. This will help protect you from prying eyes, even if someone discovers your login details.

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7. Make sure that the VPN uses SSL encryption on all protocols. This will make it very difficult for hackers to intercept traffic between your devices and the network server.

You can test this by checking whether or not there is an “s” in the HTTP section of web addresses (e.g., HTTPS) where online banking sites are concerned. If there isn’t one, they aren’t using SSL, which is one of the most secure types of encryption.

8. Check whether or not there are any restrictions on where you can access their online banking service from. Some banks may only allow you to use SSL encryption for specific IP addresses, which means they check your location before allowing you to log in.

If this is the case, VPNs will either not work or limit what you can access. You’ll have more luck with a VPN client if this is the case.

It’s essential to remember that most VPN services with dedicated apps for mobile devices are free. This means they may not be as secure as paid-for alternatives, but it might be worth testing a few of them out to see which is best if you need a more reliable solution.

9. Use only official websites when connecting to online banking from VPNs. There have been cases where using unofficial payment gateways resulted in account restrictions being placed on users, so always check your bank’s website thoroughly before logging in.

Remember: everyone and every service available on the internet wants something from you, and with this type of software, there is no such thing as 100% safety, regardless of what claims these companies make.


Virtual Private Networks play an important role in protecting our sensitive information when surfing the internet. However, since hackers are always looking for new ways to access this information through unprotected networks, you should always look at your options before subscribing to any service that can help.

When using a free VPN for banking, be sure to read the terms of service that come with it. If you’re not allowed to bank in any other country than your own, then there’s no point in connecting through a server in another location. Be sure to check the fine print and make sure everything is kosher before signing up for a VPN service provider.

About Norman Anthony Balberan

I am a Bachelor of Science in Pharmacy graduate turned full-time web developer and designer. Although my professional background is in pharmacy and tech, I have a passion for writing and am excited to share my insights and thoughts through my blog. I write about various topics that I am knowledgeable and passionate about, and I hope to engage and connect with my readers through my writing.

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