How to Encrypt a USB Drive Completely with VeraCrypt

If you store sensitive files on a USB drive, losing it can expose your data to anyone who finds it.

In this guide, I’ll show you how to fully encrypt a USB drive using VeraCrypt, so your data stays protected even if the device is lost or stolen.

This method encrypts the entire drive, not just a single file container, which makes it more secure and practical for everyday use.

Here’s how to fully encrypt your USB drive using VeraCrypt.

Encrypt Your USB Drive

Step 0: Download and Install VeraCrypt

First, download the latest version of VeraCrypt from the official website:

https://veracrypt.io/en/Downloads.html

Make sure you download it only from the official source to avoid tampered or unsafe versions.

Run the installer and follow the default setup — no special configuration is required.

Installation Options

During installation, you’ll see several options:

Here’s what you should select:

• Install for all users → recommended (available system-wide)
• Add VeraCrypt icon to desktop → optional but convenient
• Add VeraCrypt to Start Menu → recommended
• Associate .hc files with VeraCrypt → useful for opening containers

Leave these unchecked:

• Disable memory protection
• Disable protection against screenshots

These security features should stay enabled.

Windows Fast Startup Warning

During installation, you may see this warning:

VeraCrypt detects that Windows Fast Startup is enabled.

This feature can cause issues when working with encrypted volumes, especially external drives.

Click Yes to disable it.

Why this matters:

• Fast Startup uses a partial hibernation mode
• It can prevent proper mounting/dismounting of encrypted drives
• Disabling it improves stability and avoids potential data issues

This is the recommended setting when using VeraCrypt.

Disabling Fast Startup will not harm your system.
The only difference is a slightly slower boot time, but it significantly improves compatibility with encrypted drives.

Step 1: Create a New Volume

After launching VeraCrypt, you’ll see the main window:

To start creating an encrypted USB drive, click: Create Volume

This will open the Volume Creation Wizard.

Step 2: Choose What to Encrypt

In the Volume Creation Wizard, you’ll see three options:

Select: Encrypt a non-system partition/drive

This option allows you to encrypt external devices like USB drives.

What the other options mean:

• Create an encrypted file container
  Creates a virtual encrypted file inside a normal drive (not what we need here)
• Encrypt the system partition or entire system drive
  Used for encrypting your operating system (advanced use case)

For a USB drive, always choose:
Encrypt a non-system partition/drive

Step 3: Select Volume Type

On this screen, choose: Standard VeraCrypt volume

This is the best option for most users and is fully secure for protecting your data.

What about Hidden Volumes?

VeraCrypt also offers a Hidden Volume feature, which allows you to create an encrypted volume inside another encrypted volume.

While this can be useful in very specific scenarios, it adds complexity and is not necessary for typical USB encryption.

Step 4: Select Your USB Drive

On this step, click: Select Device

Then choose your USB drive from the list.

Be Careful — This Step Is Critical

You must select the correct device.

If you choose the wrong disk, all data on it will be permanently erased during encryption.

How to identify your USB drive:

• Check the size of the device
• Look for your USB drive name (if available)
• Make sure it’s not your system disk

Tip: If you’re unsure, unplug and reconnect your USB drive to see which device appears.

Once selected, click OK and continue.

Once confirmed, click: Next >

Step 5: Choose Volume Creation Mode

On this screen, select: Create encrypted volume and format it

This is the fastest and most reliable way to encrypt a USB drive.

⚠️ All data on the drive will be permanently erased. Make sure to backup any important files before continuing.

What about “Encrypt partition in place”?

This option encrypts existing data without deleting it.

However, it is slower and more complex, and is typically used only when you cannot afford to lose the data on the drive.

Step 6: Encryption Options

On this screen, you can choose encryption settings.

Leave the default settings:

• Encryption Algorithm: AES
• Hash Algorithm: SHA-512

These options are secure, fast, and suitable for almost all use cases.

AES is widely used and trusted, including by governments and security professionals.

Do you need to change anything?

No, for a USB drive, the default settings provide an excellent balance of security and performance.

Click Next > to continue.

Step 7: Volume Size

On this screen, VeraCrypt shows the size of the selected device.

If you selected a USB drive, the full size will already be set automatically.

You don’t need to change anything here.

What does this mean?

• The entire USB drive will be encrypted
• All available space will be used

Simply click Next > to continue.

Step 8: Set a Password

Enter a password for your encrypted USB drive.

Choose a strong password and confirm it.

Password Tips

• Use at least 12–16 characters
• Combine letters, numbers, and symbols
• Avoid common words or simple patterns

Important

There is no password recovery.

If you forget your password, your data will be permanently inaccessible.

Optional Settings

• Use keyfiles → advanced feature (not needed for most users)
• Use PIM → advanced setting (leave disabled)

Just use a strong password and click Next >

Step 9: Large Files Support

On this screen, VeraCrypt asks:

Do you intend to store files larger than 4 GB?

Select: Yes

This allows you to store large files such as videos, backups, or disk images.

Click Next > to continue.

Step 10: Format the Encrypted USB Drive

On this screen, you will configure the final settings before encryption.

Filesystem

Select:

• exFAT → best compatibility (Windows + macOS)
• NTFS → if you only use Windows

For most users, exFAT is the best choice.

Move Your Mouse!

Before clicking Format, move your mouse randomly inside the window.

This generates cryptographic randomness used to strengthen encryption keys.

Try to fill the randomness bar completely (until it turns green).

The more randomness you generate, the stronger your encryption keys will be.

Format the Drive

Once ready, click: Format

This will start the encryption process.

⚠️ All data on the drive will be erased during this step.

⚠️ If you see an error about the device being in use, don’t worry — this is a common issue.
See the troubleshooting section below for a quick fix.

Step 11: Encryption Complete

Once the process finishes, you will see a confirmation message:

The VeraCrypt volume has been successfully created.

Click OK to continue.

How to Use Your Encrypted USB Drive

Now that your USB drive is encrypted, here’s how to access it.

Step 1: Open VeraCrypt and Select a Drive Letter

Launch VeraCrypt and choose any available drive letter from the list.

This is where your encrypted USB drive will be mounted.

Step 2: Select Your Encrypted USB Drive

Click: Select Device

Then choose your encrypted USB drive from the list.

Be Careful:

Make sure you select the correct device.

In most cases, it will appear as something like:

• Removable Disk
• With the correct size (e.g., 58.6 GB)

Step 3: Mount and Enter Your Password

Click: Mount

Then enter your password and click OK.

Step 4: Access Your Encrypted Drive

After entering the correct password, your drive will be mounted.

The selected drive letter will now contain your encrypted USB drive.

You can open it in File Explorer and use it like a normal disk.

Important

When you’re done, always click: Unmount

before unplugging the USB drive.

This ensures your data stays safe and prevents corruption.

Common Issues & Fixes

Here are some common problems you may encounter and how to fix them.

The Device/partition contains a file system that could not be unmounted.

You may see an error like:

This means the USB drive is currently being used by Windows or another application.

Fix:

• Close all File Explorer windows
• Make sure no files are open from the USB drive
• Unplug and reconnect the device
• Try again

If the error still appears, you can reset the USB drive using Disk Management.

⚠️ This will erase all data on the USB drive.

Step 1: Open Disk Management

Right-click This PC → click Manage

Step 2: Delete the Volume

Go to Disk Management, find your USB drive, then:

Right-click the partition → Delete Volume

Step 3: Try Again

After deleting the partition:

• Leave the space as Unallocated
• Run VeraCrypt again
• Repeat the encryption process

Forgot Password

If you forget your password: Your data cannot be recovered

There is no password reset or recovery option.

Always store your password securely.

Access Denied

In some cases, VeraCrypt may not have permission to access the device.

Fix:

• Close VeraCrypt
• Right-click it
• Select Run as administrator

Then try again.