If your Remote Desktop session drops during or right after connecting with a message like “An internal error has occurred,” that’s a different problem from not being able to connect at all. The connection is actually being established, but something in the security negotiation, network configuration, or Group Policy settings is cutting it off partway through. In most cases, fixing the network location profile, an NLA (Network Level Authentication) mismatch, or a corrupted RDP cache resolves it.
Common Causes Behind This Specific Error
- The network profile switches to “Public,” and the firewall cuts off session traffic mid-connection
- NLA (Network Level Authentication) is configured differently on the client and the server
- A Group Policy setting forces a specific Remote Desktop security layer (RDP Security Layer vs. SSL/TLS) that conflicts with the client
- Locally cached RDP connection data or credentials have become corrupted
Step-by-Step Fix
- Open Network and Sharing Center and check whether your current network location is set to “Private.” If it’s set to “Public,” change it to “Private.”
- Open gpedit.msc and check the security settings under Computer Configuration > Administrative Templates > Windows Components > Remote Desktop Services > Remote Desktop Session Host > Security, particularly authentication and security layer policies.
- In System Properties, on the Remote tab, uncheck “Allow connections only from computers running Remote Desktop with Network Level Authentication” and try reconnecting.
- Delete the cached files in %localappdata%\Microsoft\Terminal Server Client\Cache, then reconnect.
- Update your graphics driver and the Remote Desktop client (mstsc) to the latest version.
Test after each change rather than changing everything at once — that way you’ll know exactly which setting was actually causing the drop.
If It Keeps Happening
If the same error keeps appearing after you’ve tried each setting individually, a firewall or security software is likely cutting session traffic mid-stream. Temporarily disabling antivirus or VPN software can help you isolate the cause. In a corporate environment, it’s often faster to ask IT to check whether a Group Policy setting was recently changed.
For anyone whose daily work depends on a stable Remote Desktop connection, a mid-session drop like this translates directly into lost work time — so it’s worth checking your network and security settings ahead of time to keep a remote work setup reliable.
For environments managing multiple PCs remotely, a service like Y-Remote, with per-account permissions and connection logs, can help.