Following a recent Heads Up article on data breaches, a Landaas & Company client asked to learn more about password managers. Below is an edited version of the client’s question and a response from Jason Scuglik, information systems administrator.
Client: I just read your article on identity fraud and for the first time I am considering a password manager. I am very familiar with technology and my belief is that everything is “hackable” and a password manager is not immune from that so why link everything back to one password? With that said, do you have a password manager that you recommend?
Jason: Thank you for your question. Your concerns are valid—it can feel like putting all your eggs in one basket. However, when it comes to password managers, we are aiming to reduce risk, and I believe the benefits outweigh the risks when implemented properly.
Learn more
How to be safer online: Passwords, a Money Talk Video with Jason Scuglik
Personal financial security, a YouTube playlist of Money Talk Videos with Jason Scuglik
The primary advantage of using a password manager is that it allows users to generate and manage unique, randomized passwords for each account—something that is often challenging to do manually.
To maximize security, it is essential that the master password protecting the vault is both complex and unique. Additionally, enabling multi-factor authentication for your password manager is a critical best practice.
When choosing a password manager, it is worth doing some research to learn what features are included with each product and how those features fit with your needs. Some popular password managers include 1Password, Bitwarden, Dashlane, Keeper and NordPass. Study recent independent reviews such as those from Wirecutter and PC Mag.
If you primarily use Apple devices, their keychain system is also a strong option, offering seamless password management and randomization. This could be a more user-friendly option for individuals who may not be as familiar with technology.
As someone in the field of information security, I am always pleased to see people taking steps to improve their online security—though I wish such measures weren’t so necessary.
Thank you for your continued trust in our team.
(Heads Up is an occasional alert on consumer and investment scams.)