You can't use a VPN for online banking. (2024)

If you hop onto Google, you’ll find plenty of stories of users who’ve been unable to connect to their particular online bank whilst using a VPN. This has led to the myth that banks hate VPNs and will try to block them due to fraud prevention.

Why don’t banks like VPNs?

This just isn’t true. Some institutions like Bank of America even encourage users to connect via a VPN when using the platform. Check with your financial institution to discover their policy on VPNs.

Is online banking safe?

While going to the bank in person to withdraw cash each time you need it might be safest, it’s not very convenient. Still, in 2023 alone 10 new malware families were discovered that targeted 985 online banking apps on Android smartphones. Desktop users can also be targeted via ‘phishing‘ e-mails to trick them into logging in to a fake version of the bank website. Criminals can then steal your login data and raid your accounts.

Can banks detect my VPN?

Online banks use several fraud prevention measures. If you’re connecting to your banking service via a VPN server, this can make it appear there’s been a login attempt from a new location which can trigger security alerts. Some “free” VPN services are also popular with criminals, so can be blocked automatically if detected.

Is a VPN safe for online banking?

If your bank knows you’ll access their platform via a VPN, there’s less chance you’ll be blocked. You can help by consistently connecting via the same VPN server so they know to authorize its IP address.

Is a VPN advisable for online banking?

When you connect to a VPN server via a reliable service like hide.me all traffic between your device and the VPN server is encrypted. This means anyone monitoring your connection e.g. on public WiFi won’t be able to tell which banking website you’re connecting to, nor see that you’re logging in.

Is online banking more secure with a VPN?

Aside from encrypting your traffic, connecting to your bank via a VPN server also masks the real IP address of your device. This makes it harder for bad actors monitoring your ISP records to know exactly where and when you connected to your bank.

Is Online Banking Secure without a VPN?

All modern banks will secure your connection to their platform via SSL/TLS. This means that when logging in, key information like your username and password will stay encrypted. Someone snooping on your connection will also find it almost impossible to decrypt your traffic to view information like your account balance.

Still, without a VPN they would be able to tell the name of your bank, when you’re logging in and the approximate location of your device.

Is it safe to use Public WiFi with a VPN for online banking

Public Wifi networks (whether they’re secured by a password or not) aren’t safe for online banking. Using a public wireless network leaves you vulnerable to packet sniffing and MITM (Man in the Middle Attacks). Hackers will sometimes deliberately create ‘honeypot’ WiFi hotspots to fool people into connecting to steal information like banking details. Using a VPN encrypts your traffic as it moves across public WiFi networks, so can reduce this risk.

Can a VPN get your bank details?

As your login session to your online banking is secured via SSL/TLS, your VPN provider cannot decrypt your password or other personal financial information as it moves to and from your device via the VPN server.

Can I use online banking with a VPN when abroad?

If you’re using a VPN to access online banking whilst abroad, try to connect to the platform using the same server you use at home. (Ideally, this will be one in your home country, as it’ll be less likely to trigger security alerts). Make sure to inform your bank you’ll be travelling and that you’ll be connecting via a VPN.

When will a VPN not help?

Using a VPN in itself won’t protect you from phishing or ‘smishing‘ attacks, where criminals impersonate your bank and try to trick you into providing your login information. If you receive an e-mail or SMS supposedly from any financial institution make sure to call the number on your bank statement or card to verify it.

Banks will never ask for your passwords or for you to move money into another account for fraud prevention purposes.

Can a VPN protect me from banking malware?

The best VPN services like hide.me use self-managed DNS servers. This means that when users are connected to a VPN server and visit websites like their bank, the provider won’t inject ads or sponsored content into their traffic, which can sometimes point to malware.

Secure DNS services like hide.me’s own SmartGuard can also automatically filter known malicious domains.

Is there a downside to using VPNS for online banking?

It is the nature of things, routing your connection via a VPN server will slow down your connection. If you’re connecting via a VPN server which has been associated with any kind of criminal activity, your bank may also block any connections from that IP address. Even if VPN connections are allowed you may need to confirm logins each time via 2FA (Two Factor Authentication).

More ways to secure online banking transactions

Using a VPN is a great way to use online banking privately but should always be combined with other security measures. Make sure to use a strong password that’s hard to guess. (Feel free to make use of hide.me’s own random password generator to do this).

If your bank supports it, you should also always set up 2FA (Two-factor authentication). This means each time you connect from a new location or device, you’ll be asked for a 6-digit code (provided by a specialist app or SMS) as well as your password to log in.

If you’re concerned about malware, consider doing your online banking via a secure browser like Brave or Vivaldi, which contains code to block ads and potentially harmful websites.

Can I use a “free” VPN for online banking?

Running a VPN service is expensive, so you should always be suspicious of providers who claim to offer a “free” service to all customers. Most are forced to pay the bills by selling customer data to third parties, which could include information about your online banking. Other providers support themselves via ads, which can sometimes lead to harmful domains. Don’t take any risks with your money – use a reliable VPN service like hide.me instead.

What kind of VPN is best for online banking?

Check with your chosen VPN service that they use powerful protocols like OpenVPN or Wireguard to encrypt your online traffic, so you can be sure you’re connecting to your bank securely.

Ideally, find a VPN service like hide.me which also lets you connect to the same server in each location easily, as that way you can supply its IP address to your bank. This should prevent you from seeing any error messages when connecting.

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