12 best practices for secure password management

Weak passwords are one of the biggest cybersecurity threats facing businesses and individuals. According to Verizon’s 2023 Data Breach Investigations Report, 81% of breaches involved weak or stolen passwords. A 2022 study by NordPass found that the most common password globally was still "123456," used by over 100 million people.

With cyber threats becoming more advanced, strong password management is essential to safeguarding sensitive data. Here’s how to protect yourself and your organisation.

1. Use Unique Passwords for Each Account

Reusing passwords across multiple accounts significantly increases the risk of credential stuffing attacks. If a single account is compromised, cybercriminals can exploit it to gain entry into multiple services.

A study by Google found that 52% of users reuse passwords across different platforms, making them vulnerable to widespread security breaches. Attackers frequently leverage databases of leaked passwords from previous breaches to attempt logins on other sites.

To mitigate this risk, ensure that every account has a unique and complex password. Using a password manager can help generate and store strong credentials securely.

2. Create Strong, Complex Passwords

A strong password is the first line of defence against cyber threats. Security experts recommend passwords that are at least 12-16 characters long and contain a mix of:

• Uppercase and lowercase letters
• Numbers
• Special characters (e.g., @, %, $, &)

A weak password like "password123" can be cracked in seconds, while a strong one such as "T!9g%aXk@1l$zP" is far more resistant to brute-force attacks.

Using passphrases instead of traditional passwords can also increase security. A passphrase such as "Winter$Sky&Pineapple" is easier to remember while still being highly secure.

3. Enable Multi-Factor Authentication (MFA)

Multi-factor authentication (MFA) adds an additional layer of security beyond just a password. Even if your password is stolen, MFA can prevent unauthorised access by requiring a second verification step.

Common forms of MFA include:

• A one-time code sent via SMS, email, or authentication app
• Biometric authentication such as fingerprint or facial recognition
• Physical security keys for high-security applications

MFA is particularly crucial for sensitive accounts, such as banking, email, and work-related logins. Implementing MFA significantly reduces the risk of account takeovers.

Learn more about preventing cyber attacks.

4. Use a Password Manager

Password managers generate, store, and auto-fill strong passwords, eliminating the need to remember multiple complex credentials. Popular options include:

• Bitwarden
• 1Password
• LastPass

Using a password manager not only improves security but also enhances convenience by automatically filling in credentials when needed.

5. Regularly Update Passwords

Changing your passwords regularly helps protect accounts from potential breaches. Even if your credentials are leaked in a data breach, updating them frequently minimises the window of opportunity for attackers.

For sensitive accounts like banking, emails, and company logins, consider updating passwords every three to six months.

6. Avoid Saving Passwords in Browsers

While web browsers offer to save passwords for convenience, this feature presents a security risk. If your device is compromised by malware or unauthorised access, stored passwords could be stolen.

Instead of relying on browser autofill, use a dedicated password manager that encrypts credentials securely.

7. Beware of Phishing Attacks

Phishing scams remain one of the most common ways hackers steal passwords. Cybercriminals send fraudulent emails or messages that mimic trusted sources, tricking users into entering their login details.

To protect yourself:

• Verify email senders before clicking on links
• Avoid downloading unexpected attachments
• Use anti-phishing browser extensions and security software

Learn more about phishing scams.

8. Implement Business-Wide Password Policies

For organisations, enforcing strict password policies is vital to maintaining cybersecurity. Weak passwords by employees can expose company data to breaches.

A robust password policy should include:

• Minimum password length and complexity requirements
• Restrictions on password reuse
• Mandatory periodic password resets

9. Use Passphrases for Added Security

Instead of using a short, complex password, a passphrase made of random words can be both secure and memorable.

Examples:

• BlueBananaHorse!42
• Winter$Sky&Pineapple

10. Enable Account Activity Monitoring

Monitoring account activity is an essential cybersecurity practice. Many platforms, including Google, Microsoft, and banking services, offer login activity tracking and send alerts for unusual login attempts.

11. Educate Employees on Password Security

Human error is one of the biggest cybersecurity risks. Without proper training, employees may fall victim to phishing scams, weak passwords, and social engineering attacks.

Companies that invest in cybersecurity training significantly reduce their risk of data breaches.

Read more about the importance of cybersecurity training.

12. Securely Store Backup Credentials

In case of emergencies, keeping a secure offline backup of credentials can prevent total lockout.

Safe storage options include:

• An encrypted USB drive with password-protected access
• A physical vault or safe for highly sensitive credentials

Why Secure Password Management is Essential

By implementing strong passwords, enabling multi-factor authentication, and staying vigilant against phishing attacks, you can significantly reduce the likelihood of falling victim to cyber threats.

Taking cybersecurity seriously today will protect you from potential attacks in the future. Strengthen your digital defences now.