Yes, it is safe to use a VPN for online banking. In fact, online banking with a VPN is safer than without it. A virtual private network does not compromise your data and protects it when you bank over public Wi-Fi or through a home network.
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When to use a VPN for online banking
Using a VPN is a great way to improve your online safety. And with over 765,000 Americans losing more than $2.4B to cybercriminals in the past decade, it just might be a necessity.
However, when you’re accessing your online banking services, there are some situations where a VPN can be especially beneficial.
- When using public Wi-Fi: VPNs are vital for keeping all your data safe, including bank account logins. Hackers can compromise a public Wi-Fi connection in countless ways, giving them the ability to access your sensitive information. But when you’re using a VPN and these criminals try to siphon your data, all they’re gathering is an unbreakable code that’s useless to them.
- When you’re at home: although public wireless networks are more dangerous, VPNs are also essential for your home Wi-Fi, which has some vulnerabilities, too. Using a VPN for banking and other matters at home improves your privacy, as it makes it much harder to track you down online and keeps your browsing history secret from ISPs (and from government agencies asking ISPs to turn over your data).
- When you’re traveling: using a VPN for banking also helps keep your account safe, as banks may become suspicious when you access it from another country. In the worst-case scenario, you can end up locked out of your account while abroad. You can avoid that with a VPN — just connect to a server in your home country. That way, the bank won’t know you’re accessing your bank account from somewhere else.
Having said all that, some things can compromise your secure banking, even over a VPN.
When is a VPN not safe for online banking?
Using free VPN apps
Free VPNs don’t have the resources to offer leading-edge security services. In fact, scientists have analyzed over 280 free Android VPN apps and found that 18% don’t encrypt data, while 84% leak user data. Research and development aren’t cheap, and neither is running VPN servers.
Free VPN apps have to make money somehow. In the best-case scenario, you’ll have a slow, data-capped connection that may annoy you with ads. At worst, the app will track you, steal your data, including your credit card info, and have malware as part of its code. In fact, the above-mentioned research showed that 38% of free VPNs contain malware.
Using a VPN and visiting questionable or fake websites
These websites can masquerade as legitimate sites you want to visit, but they only exist to steal your data once you enter it. They may also be infected with malware that can jeopardize your device.
The good news is that always being on the lookout and using tools like CleanWeb can help greatly. For example, CleanWeb blocks malicious ads and prevents you from opening dangerous websites.
Changing VPN server locations when banking
If you keep changing VPN server locations, banks will see that your account is being accessed from different countries and flag it as fraud. Then, they might block your transactions or close the card altogether.
So, if you use a VPN for safe online banking, connect to your home country’s server.
Not practicing safe internet behavior
Although a VPN will protect you in some ways, it may not be enough if you don’t practice safe internet behavior while banking online. What can expose you to risks is not having an antivirus, using an old operating system, or ignoring virus alerts, to name a few.
Thankfully, there are more ways you can improve your online banking safety besides using a VPN.
Improving online banking safety
A VPN does make online banking safer, but if you want to stay safe on mobile banking apps, you should take other safety measures as well. This includes using an antivirus, creating strong passwords, updating your device and software, and not clicking any suspicious links.
- Don’t reuse passwords: data leaks are an ever-present danger, so you don’t want one leaked password to compromise your bank account.
- Use strong passwords: we all know the jokes about “password” and “12345.” Luckily, these days, many systems don’t even allow you to set a weak password.
- Use 2FA: two-factor authentication adds another step to the login process, which is one more thing that hackers need to crack. This makes their crimes harder to pull off.
- Get updates: your device, antivirus software, and VPN app all get periodic updates. They improve not only functionality but security as well. So, best not to ignore them.
- Lock your screen: this applies to smartphones, laptops, work computers — basically anything. If a hacker gets physical access to your device, they can easily circumvent your VPN protection, so don’t leave it open for them.
- Don’t click suspicious links: online scammers on services like Cash App often lure victims in with malicious links. Virus pop-ups on websites, strange links in emails, weird attachments — ignore them all.
- Turn on banking notifications: many banks and apps have the option of notifying you of any activities. If you turn on these notifications, you’ll be immediately informed of all transfers, including the suspicious ones.
- Use an antivirus: whether it’s on a smartphone or your computer, antivirus software will always improve your online security.
These are some of the basic practices to improve your online banking safety, besides using a VPN. However, there are more quality-of-life improvements that VPNs provide.
Why choose Surfshark for secure online banking?
Here are additional Surfshark VPN features that help you with online banking:
- Unlimited installs: a single Surfshark VPN account allows you to use it on unlimited devices. Thus, you can secure your banking on your phone, laptop, etc., and share it with the whole household.
- Kill Switch: this feature disconnects you from the internet if the VPN connection is interrupted. With Kill Switch, you don’t end up accidentally browsing the internet unprotected.
- Blocking phishing: Surfshark’s CleanWeb is a feature that actively blocks suspicious pop-ups, malicious links, and so on. It can be a mere convenience for someone who already knows and follows basic internet security tips, but it’s crucial for those who are less aware of phishing practices.
- Split tunneling: a split tunneling (a.k.a. Bypasser) feature allows you to exempt specific apps from VPN protection. If you don’t want some of your online traffic to go via a VPN for some reason (for example, some banks are not OK with VPN use), this is the way to do it.
- Data breach monitoring: with Surfshark Alert, you will be notified if your passwords, emails, IDs, or credit card information are breached.
And that’s before you factor in the many other uses and benefits of VPNs besides safe online banking.
VPN: online banking ally
A VPN is perfectly safe for banking if you’re aware of the risks (namely, not using a free VPN). Plus, it is often an improvement to your overall security online. And with plans getting cheaper all the time, can you really afford not to invest in a VPN? Try Surfshark VPN risk-free — after all, there’s a 30-day money-back guarantee!
FAQ
Should I use a VPN for online banking on public hotel Wi-Fi?
Yes, you should use a VPN for online banking on public hotel Wi-Fi. Hackers often lurk on public Wi-Fi, and some even create fake Wi-Fi networks that look legitimate (like open hotel Wi-Fi). If you connect to those, hackers can easily infiltrate your device and gain access to your banking information. With a premium VPN, even if your data gets breached, it will be encrypted, making it useless to cybercriminals.
It’s also a good idea to use a VPN when you’re abroad, as choosing a VPN server location from your home country will prevent potential problems with your bank.
Should you use a VPN for mobile banking?
Yes, you should use a VPN for mobile banking, especially when logging on to banking apps on public Wi-Fi. A premium VPN will add an extra layer of security to your personal data. However, so as not to confuse your bank’s security processes, connect to the servers from the country you reside in.
Why can’t I access my bank on a VPN?
Some banks prohibit the use of VPNs due to customer security concerns and to prevent fraudulent activities. If you can’t connect to your bank account with a VPN, you should contact your bank’s customer support or temporarily disconnect from the VPN to access your online bank.
What is the best protection for online banking?
The best protection for online banking is to download a VPN app that is reliable and to practice safe internet behavior, such as choosing strong and unique passwords, enabling two-factor authentication, not clicking on suspicious links and ads, updating your device and software, turning on banking alerts, etc.
