5 Signs Your Free VPN Is Actually Stealing Your Data

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The number of malicious free VPNs reported in Q3 2024 was 2.5 times higher than in Q2. The reality is that a free VPN can cost far more than a paid service. This article explains the five most common signs that a free VPN is harvesting your data and shows how to protect yourself.

Sign 1 – Your Device Becomes an Advertisement Billboard

What to watch for

  • Ads appearing in apps that never showed ads before
  • Pop‑ups that appear even when no browser is open
  • Home‑page of the browser changing without permission
  • Repeated “You’ve won!” notifications

Why it happens

Ad injection is performed by the VPN. Internet traffic is intercepted, advertisements are added and the modified data is sent back to the device. The user sees the added ads while the VPN earns revenue.

Quick test

  1. Screenshots of favourite apps are taken before any VPN is installed.
  2. After installation the apps are opened and checked for new ads.
  3. If new ads are present, the VPN is removed immediately.

Sign 2 – Internet Speed Drops Dramatically

What to watch for

  • Websites loading far slower than before
  • Video streams constantly buffering
  • App updates timing out
  • Online games becoming unplayable due to lag

Why it happens

Many malicious free VPNs claim “unlimited bandwidth” but then throttle the connection. The slowdown forces the user to disable the VPN, exposing real traffic, or to click more ads while waiting for pages to load.

Example data

VPN (free)Speed without VPNSpeed with VPNLoss
Free VPN A50 Mbps2 Mbps96 %
Free VPN B50 Mbps5 Mbps90 %
Free VPN C50 Mbps1 Mbps98 %

Legitimate paid VPNs typically cause only a 10‑20 % loss.

Sign 3 – The App Requests Suspicious Permissions

Red‑flag permissions

  • Access to SMS messages
  • Phone call handling
  • Camera or microphone use
  • Contact list access
  • Device‑admin privileges

What the permissions enable

  • SMS access allows theft of and banking numbers.
  • Phone access permits recording of calls for blackmail or identity theft.
  • Camera and microphone access enable spying on personal life.
  • Contact access builds databases for targeted attacks.
  • Device‑admin rights allow installation of additional malware that cannot be removed.

How to check

Android – Settings > Apps & notifications > Your VPN > Permissions.
iOS – Settings > Privacy & Security, then review each category for the VPN.

Sign 4 – Eerily Accurate Targeted Ads and Unsolicited Communications

Warning signs

  • Ads mentioning your city, workplace or recent purchases.
  • Promotional emails you never signed up for.
  • Calls from unknown numbers asking about recent online activity.
  • Social‑media ads for products you searched for privately.

How the data is used

The VPN monitors every website visited, every search term typed, location data and app usage. This information is packaged and sold to advertising networks. In later stages scammers purchase the data and launch targeted attacks.

Real‑world example

After installing a suspicious free VPN, an ad for the exact laptop model being researched appeared, complete with a store near the workplace. Within days, phone calls claiming to be from the bank mentioned recent transactions.

Sign 5 – Unexpected Battery Drain and Data Usage

Technical clues

  • Battery life falling from 8–10 hours to 3–4 hours under normal use.
  • Daily data usage rising from 200‑300 MB to 800‑1200 MB without increased activity.
  • Device heating up for no apparent reason.
  • Apps crashing more frequently.

Why it happens

The VPN runs hidden processes that upload personal data, mine cryptocurrency or communicate with command‑and‑control servers. The constant background activity consumes power and data.

Monitoring steps

Android – Settings > Battery > Battery usage and Settings > Network & Internet > Data usage.
iOS – Settings > Battery and Settings > Cellular, then check data per app.

If the VPN shows high usage while not actively used, it should be removed.

What Happens When Your Data Is Stolen

TimeframeTypical impact
First monthUnauthorised card charges, spam calls, fake social‑media accounts, email added to scammer lists
2‑6 monthsIdentity‑theft attempts, loan applications in your name, personal photos appearing online, family members targeted
6+ monthsCredit‑score damage, legal complications, permanent loss of privacy, ongoing security vulnerabilities

A teacher from Pokhara who installed a malicious free VPN found three loan accounts opened in her name within two months. Eight months and Rs 50 000 in legal fees were required to clear her record.

Immediate Actions You Can Take Today

  1. Audit all VPN apps – List every VPN on each device, review permissions and read reputable reviews.
  2. Monitor financial accounts – Check bank and card statements weekly, set up transaction alerts.
  3. Clean compromised devices – Uninstall suspicious VPNs, change passwords for all important accounts, clear browser cache and cookies.

Choosing a Safe VPN Alternative

Free options from reputable providers

  • Proton VPN – Limited free tier, Swiss‑based, clear privacy policy.
  • Windscribe – 10 GB free per month, Canadian company, transparent logging.
  • TunnelBear – 500 MB free per month, owned by McAfee, simple user interface.

  • NordVPN – Strong encryption, fast speeds, good value for the region.
  • Surfshark – Unlimited devices, competitive price, reliable performance.
  • ExpressVPN – Premium infrastructure, excellent support, highest reliability.

Red flags to avoid in any VPN

  • Claims of “100 % free forever with unlimited everything”.
  • Generic names such as “Free VPN” or “Super VPN”.
  • No clear company information or privacy policy.
  • Requirement of personal details just to start.
  • Promises of “complete anonymity”.
  • Poor reviews on independent tech sites.

The Nepal‑Specific Risk Landscape

Why Nepali users are targeted

  • Limited cybersecurity awareness leads to misunderstanding of VPN purpose.
  • Price sensitivity makes free options attractive.
  • Language barriers keep privacy policies out of reach.
  • Limited legal recourse against overseas scammers.

Local impact observed

  • Increased targeting of banking customers with stolen data.
  • Scammers impersonating government officials using personal details.
  • Fake investment‑opportunity calls based on leaked information.
  • Social‑engineering attacks aimed at family members.

The Bottom Line

A free vpn that appears to offer unlimited protection can end up costing far more in privacy, security and money. The five signs outlined above should be used as a checklist whenever a new VPN is considered. If any of the signs appear, the VPN should be removed without delay and a trusted alternative should be adopted.

Conclusion

The data you generate online is more valuable than gold. When a free VPN harvests that data, the price paid is loss of privacy, financial damage and long‑term stress. By recognising ad injection, speed throttling, suspicious permissions, hyper‑targeted ads and abnormal battery or data usage, a compromised VPN can be spotted early.

Take immediate action, replace the rogue service with a reputable provider and share this knowledge with friends and family. Protecting your digital life starts with a simple check‑list, not with endless promises of “free forever”.

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