Large-scale neurophysiological markers of action competition have been almost exclusively investigated in the context of instructed choices, hence it remains unclear whether these markers also apply to free choices. This study aimed to compare the specific brain dynamics underlying instructed and free decisions. Electroencephalography (EEG) was recorded while 31 participants performed a target selection task; the choice relied either on stimulus–response mappings (instructed) or on participants’ preferences (free). Choice difficulty was increased by introducing distractors in the informative stimulus in instructed choices, and by presenting targets with similar motor costs in free choices. Results revealed that increased decision difficulty was associated with higher reaction times (RTs) in instructed choices and greater choice uncertainty in free choices. Midfrontal EEG theta (4–8 Hz) power increased with difficulty in instructed choices, but not in free choices. Although sensorimotor beta (15–30 Hz) power was correlated with RTs, it was not significantly influenced by choice context or difficulty. These results suggest that midfrontal theta power may specifically increase with difficulty in externally-driven choices, whereas sensorimotor beta power may be predictive of RTs in both externally- and internally-driven choices.