How to Use Password Managers Safely: A Practical Guide

With the ever-growing number of online accounts we manage, password security has never been more important. Weak or reused passwords constitute a serious cybersecurity risk, making it easier for hackers to gain access to sensitive information.

To combat this, many businesses and individual users turn to password managers, secure tools that generate and store strong passwords for each account. But while password managers can significantly enhance security, using them improperly can create other security vulnerabilities.

In this blog, we’ll look in more detail about how to use password managers safely and securely, including best practices for both in-browser password managers and standalone apps. These tips should help you enjoy the convenience of password managers while keeping your accounts safe.

Choosing the right password manager

The first step in using password managers safely is choosing a reliable one. Not all password managers are created equal, and some offer better security features than others. Here are some of the features you should look for when selecting a password manager tool:

End-to-end encryption: Ensure your chosen password encrypts data locally before storing it in the cloud.
Zero-knowledge architecture: This means that even the password provider cannot access your stored passwords.
Multi-factor authentication (MFA): An extra layer of security, like requiring a code to be sent to your phone to log in, helps protect your password vault.
Cross-platform compatibility: The ability to access passwords across devices while maintaining security is critically important.
Regular security audits: Choose services that undergo independent audits to verify their security claims.

Well-regarded password managers include LastPass, Bitwarden, 1Password and Dashlane. Always research the security features and track records of password manager tools before reaching any decision on which one to use.

Setting up and securing your password manager

Once you’ve chosen a password manager, you need to ensure you set it up securely to keep your passwords out of the wrong hands. Here are some steps you should follow:

Create a strong master password: Your master password holds the key to your entire password vault. It should be long, unique and difficult to guess. Avoid including personal information in your master password and consider using a passphrase instead of a single word.
Store your master password securely: Since you can’t store your master password in your password manager, you need to keep it safe in a secure location. For example, make a note of your master password on a piece of paper and store it somewhere secure, like a locked safe.
Enable multi-factor authentication (MFA): If your password manager supports MFA, enable it. This adds an extra layer of protection by requiring secondary code to access your passwords.
Disable auto-login on shared devices: If you ever use your password manager on a shared computer, disable auto-login features to reduce the risk of unauthorised access.
Regularly back up your password vault: Some password managers allow you to export an encrypted backup for use in case of emergencies. Make sure this backup is stored securely.

Using in-browser password managers safely

Some browsers, such as Google Chrome, Microsoft Edge and Mozilla Firefox, have their own in-built password managers. As convenient as these are, they have limitations compared to standalone password managers. Here’s how you can use them securely:

Enable encryption and syncing: If you use a browser’s built-in password manager, make sure it encrypts stored passwords and syncs securely between devices.
Use a strong device password: Since browser-stored passwords are tied to your device, ensure your computer or phone has a strong login password to prevent unauthorised access.
Regularly audit and clean stored passwords: Check your credentials periodically and remove any outdated or unnecessary ones.
Avoid storing critical account passwords: For highly sensitive accounts like banking and work-related logins, consider using a dedicated password manager instead of an in-browser one.
Keep your browser updated: Security patches fix vulnerabilities that could expose stored passwords, so always update your browser.

Best practice for safe use of password managers

Beyond choosing a password manager and setting it up securely, it’s important to adhere to best practices when using it in order to keep your passwords safe. Here are some key steps to follow:

Use unique passwords for each account. Never reuse passwords across different accounts, as one breach could compromise multiple logins.
Turn on breach alerts. Many passwords notify you if a stored password has been involved in a data breach.
Be cautious with autofill. Some phishing attacks exploit autofill features, so disable autofill for unfamiliar websites and manually copy and paste passwords when required.
Log out of your password manager when it’s not in use. Especially on shared or work devices, always log out of your password manager when you’ve finished using it.
Update stored passwords regularly. If a website or service you use is breached, change the password immediately and update it in your password manager.

Conclusion

Password managers are a powerful tool for maintaining strong and secure credentials, but they must be used wisely. Choosing a reputable, reliable password manager, securing it with a strong master password and MFA, and following other best practices can help you reap the security benefits and convenience of using a password manager while minimising any risks involved.

Find out more about what Solsoft can do to protect your business from cybersecurity threats. Book a call with our friendly team of experts today and let’s discuss how we can help you.