Don't use Telnet.
And yes, putty does telnet better than most. It also does SSH. Not I know both personally and indirectly that openSSH runs on VMS. There ar a few tricks, but it is very doable.
You might just want to mention that Telnet is plain text. SSH is a much better solution, best of all most SSH Clients can manage to hang onto a connection much better than telnet (including Putty)