Special settlements in the Soviet Union were the result of population transfers and were performed in a series of operations organized according to social class or nationality of the deported. Resettling of "enemy classes" such as prosperous peasants and entire populations by ethnicity was a method of political repression in the Soviet Union, although separate from the Gulag system of penal labor. Involuntary settlement played a role in the colonization of virgin lands of the Soviet Union. This role was specifically mentioned in the first Soviet decrees about involuntary labor camps. Compared to the Gulag labor camps, the involuntary settlements had the appearance of "normal" settlements: people lived in families, and there was slightly more freedom of movement; however, that was permitted only within a small specified area. All settlers were overseen by the NKVD; once a month a person had to register at a local law enforcement office at a selsoviet in rural areas or at a militsiya department in urban settlements. As second-class citizens, deported peoples designated as "special settlers" were prohibited from holding a variety of jobs, returning to their region of origin, attending prestigious schools, and even joining the cosmonaut program. Due to this, special settlements have been described as a type of apartheid by historian J. Otto Pohl.

After the special settlement system was officially abolished in the 1950s, most deported indigenous peoples were allowed to return to their homelands, except for the Crimean Tatars and Meskhetian Turks, who were denied the right of return in the Khrushchev and Brezhnev era and largely remained in areas they were deported to because of the Soviet residence permit system (propiska).

Exile settlements (ссыльное поселение, ssylnoye poselenie) were a kind of internal exile. The system of political and administrative exile existed in Imperial Russia as well. The most notable category of exile settlers in the Soviet Union (ссыльнопоселенцы, ssylnoposelentsy) were the whole nationalities resettled during Joseph Stalin's rule (1928–1953). At various times, a number of other terms were used for this category: special settlement (спецпоселение), special resettlement (спецпереселение), and administrative exile (административная высылка, a term which refers to an extrajudicial way of deciding the fates of people "by administrative means"). Exiles were sent to remote areas of the Soviet Union: Siberia, Kazakhstan, Central Asia, and the Russian Far East.

The major source of the population in exile settlements were victims of what is now called ethnic cleansing. The Soviet government feared that people of certain nationalities would act as "fifth column" subversives during the expected war, and took drastic measures to prevent this perceived threat. The deported were sent to prisons, labor camps, exile settlements, and "supervised residence" (residence in usual settlements, but under the monitoring of the NKVD).

In 1929, the government led by Joseph Stalin designated some regions (known as districts) of Western Siberia as locations for future deportations of what were referred to as "socially dangerous classes" of people from Belarus, Ukraine, and the northwestern part of European Russia. Siberian researchers note that deportations of this period may be characterized as "depeasantization" (Russian: раскрестьянивание) as peasants represented a significant share of those who experienced this kind of repression. In 1928, the Soviet Union underwent a goods famine known as the Soviet grain crisis; this led to the forced collectivization of agriculture. As a result, the government began to subject members of the farming population of the countryside peasantry to a policy of mass deportations; they were forcibly removed and sent to the regions selected for deportations. This policy was enforced up until 1933, when soviet authorities conducted series of so-called "city cleansings", by which they forced some of the marginalized population (peasants who had hid from earlier deportations, Romani people, and other targeted groups) to resettle. Streets of many cities like Leningrad and Moscow were raided by militia and those who were caught were sent to the East. This policy had fatal consequences for some who were targeted; one example of the harsh environment to which deportees were subjected is the infamous Nazino tragedy of 1933 that happened near Tomsk. The impact on the deportees to Nazino Island was devastating; over 4,000 people died or disappeared within thirteen weeks, having been given only raw flour to survive. The early deportations coincided with dekulakization and passportization policies of the Soviet Union.

Several waves of forced resettlement occurred from the territories on the Western borders. These territories included Murmansk Oblast and the recently annexed lands invaded and occupied by the Soviets under the Molotov–Ribbentrop Pact with Nazi Germany; parts of Poland and Romania and the Baltic States.

In territories annexed from Poland (the Kresy territories and the Białystok Voivodeship), the initial wave of repression of 1939 was rationalized as removal of "social enemies", or "enemies of the people": military, police and administrative personnel, large landowners, industrialists, and merchants. They were usually sentenced to 8–20 years in labor camps. In addition, settlers, or osadniks, as well as foresters and railroad workers were forcibly removed. Massive deportations of the Polish population into remote areas of the Soviet Union took place in 1940–1941. Estimates of the total number of deported Poles vary between 400,000 and 1.9 million people, including prisoner of war.

On 23 June 1940, Lavrenty Beria, head of the NKVD, ordered the Murmansk Oblast to be cleansed of "foreign nationals", which included Scandinavians and all other nationalities. People of Finnish, Swedish, and Norwegian (see also "Kola Norwegians") ethnicities were moved to the Karelo-Finnish SSR. Germans, Koreans, Chinese, and others were moved to Altay.