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VPNs, proxies, and Tor get lumped together because they all reroute your traffic. The differences in encryption, speed, and trust are what decide which you should use.
Proxy: lightweight redirection
A proxy reroutes a single app's traffic through another server, changing your apparent location. It's fast and simple but usually doesn't encrypt everything, and you're trusting the proxy operator. Fine for low-stakes location changes; not a privacy tool.
VPN: encrypted, system-wide
A VPN encrypts all your device's traffic and routes it through a server you choose. It balances privacy, speed, and ease, which is why it's the default recommendation for most people. The catch is that you must trust the provider — which is why audited no-logs policies and ownership matter.
Tor: maximum anonymity, minimum speed
Tor routes your traffic through multiple volunteer-run relays, making it very hard to trace — at the cost of significant speed. It's the right tool for high-stakes anonymity, not for streaming or everyday browsing.
Key takeaway
Proxy for quick, low-stakes location changes. VPN for everyday privacy and speed. Tor for serious anonymity when speed doesn't matter. Most people want a VPN.