Telomeric repeat-containing RNA (TERRA) is a class of non-coding RNAs emanating from telomeres and controlling telomere dynamics. Recent studies showed that TERRAs influence chromatin structure and gene expression. TERRAs can also play a crucial role in controlling inflammation, oxidative stress, DNA damage, and cellular senescence. This review discusses the significance of TERRAs in modulating these processes, particularly in the central nervous system (CNS). While our understanding of TERRAs largely stems from cancer research, their involvement in these physiologic and pathologic pathways highlights their potential as therapeutic targets for CNS disorders as well.