Step 1 – Use a Password Manager

Why do I need to manage my passwords?

The average Internet user has more than 40 different accounts. If you’re a Freelancer or run a Small Business, this number is likely to be higher. Many of these accounts are vital for your business to run smoothly and successful.

What is a Password Manager?

Password Managers are useful tools for you to keep track of your accounts and the credentials required to access them. They make it easier for you to deal with a large number of unique and complex credentials.

Password Managers are also great at saving other type of information you want to be sure to have in arms reach when you need them, but you want to have a reasonable protection from others to access them.

Some examples are Passport numbers, social security numbers, debit/credit card numbers etc.

What types of Password Managers exist?

Password Managers can be roughly split in three different categories. Some might have some hybrid functionality, but for simplicity, we’re defining the following three categories:

1. Built-in password managers in Operating Systems, Internet Browser, etc.
2. Cloud-based password managers
3. Local password managers

They all have their advantages and limitations. In the next part you’ll learn about the different options and advantages or challenges they come with. In this program, our focus will be on what we call cloud-based Password Managers.

Built-in password managers

Modern operating systems and Browsers offer built-in password managers. 

Some examples are:

• Apple iCloud Keychain
• Google Password Manager
• Microsoft Edge Password Manager

These password managers usually rely on a cloud-account like iCloud, Google account, or microsoft account to sync passwords across devices

Advantages:

• Smooth integration in Operating System and Browser
• Free, no additional costs

Disadvantages:

• Limited functionality compared to fully fledged password managers
• Limited support outside of their core ecosystem
• Depend on accounts for icloud, google, microsoft 

Cloud-based standalone password manager

Most standalone password managers offer a cloud-sync capability that makes it easy to access them from all of your devices.

Some examples are:

• 1Password
• Dashlane
• Lastpass
• Norton

Advantages:

• Dedicated password manager work on all major platforms

Disadvantages:

• Additional application and account to manage
• Can take some time to get used to
• Password managers can also get hacked sometimes 

Local password managers

People who don’t want to trust their passwords to be stored on a cloud-infrastructure can keep their passwords stored locally.

Some examples are:

• PasswordSafe
• EnPass
• KeyPass

Advantages:

• Dedicated password manager work on all major platforms
• Only you can access them – no risk of someone elese’s infrastructure getting hacked.

Disadvantages:

• Additional application and account to manage
• Can take some time to get used to
• Increased effort to backup password manager data to reduce risk of loosing it