Are you sure your ISP is purposely throttling your internet speeds? Evenings are generally the busiest times for the internet, maybe everyone in your neighbourhood is just on at the same time?
A VPN is supposed to hide your real IP from whatever remote sites you're connecting to. You need to connect to some remote VPN "server," or you'd still be just connecting from your own IP.
Your ISP probably knows where you live and installed the wire (or provided the wireless / cellular network equipment) you use to connect to the internet, you can't hide from them.
But an encrypted VPN might be able to hide what you're doing on the internet, so your ISP may not be able to instantly see that you're using torrent, or at least not exactly what you're downloading (in case you're worried about getting sued for sharing). The ISP might still throttle any high-bandwidth traffic, whether they recognize the P2P pattern or not.
After reading your comment "I have tried setting up a VM and downloading through it and although it did bypass the throttling it slowed my computer down to nearly unusable speeds" it makes me wonder if the problem is really with your ISP