 Originally known as Bromley, the town name was changed to "Peru" by the land grantees as a way of attracting land buyers to an area that had been described as of "trees, bears and mountain lions".Peru is located in northeastern Bennington County, bordered by Rutland County to the north.The crest of the Green Mountains runs from north to the south through the western half of the town, traversed by the Long Trail/Appalachian Trail.