What is a password manager and why do you need one

You don’t need to remember every password!

Sanjeev Jaiswal (Jassi)
11 min readMay 19, 2024

Why I need a good password management tool

In the digital age, managing numerous complex passwords securely is a significant challenge. I have so many accounts including Gmail, Github, FB, Twitter, LinkedIn, Instagram, Trello, AWS, Azure, Digital Ocean, Bluehost, GoDaddy, and the list will go on. I can't memorize each password, so I am in a mess now. I have the option to note down all those passwords in one password-protected place or keep the same password everywhere which is surely the worst idea.

Although I use MFA everywhere, and set the password using the concept "Easy to remember, hard to guess" still I forget some passwords due to various reasons didn't use it in the last 2-3 months, used it rarely, registering to test some features, and so on. Chrome browser saves passwords though for better use. But what if I want to use those passwords on different devices or the places where I don't want to log in to Chrome? Moreover, I don't want to save my password in the browser or anywhere online. This is why I keep testing different solutions and hence I am bound to use at least a password manager to make online life a little easier. Here comes the password manager dilemma. I am not in favor of using a password manager fully though, but yeah I use one at present.

What is a password manager?

A password manager is a software application designed to help users store and manage their passwords securely. It typically uses strong encryption to protect stored passwords and other sensitive information, ensuring that only the user can access them.

Password managers often include features such as password generation, autofill for login forms, and secure storage of additional information like credit card details and secure notes.

In this article, I will share my views, and the advantages and disadvantages of three popular password managers that I have used in the past: LastPass, Bitwarden, and 1Password. I will try to cover their features, pricing, and additional competitors as much as I think is essential.

Why One Should Use a Password Manager Online

Here are the top 5 reasons to use a password manager

1. Enhanced Security

Strong Password Generation:

  • Password managers can generate complex, unique passwords for each of your online accounts, significantly reducing the risk of password cracking or brute-force attacks.

Encryption:

  • They use high-level encryption to protect your passwords, ensuring that even if the data is intercepted, it remains unreadable without the master password.

Protection Against Phishing:

  • Password managers can help identify phishing sites by auto-filling passwords only on legitimate sites, reducing the risk of accidentally entering your credentials on a fraudulent site.

2. Convenience

Autofill:

  • Password managers can automatically fill in login details for websites and apps, saving time and effort, especially when managing multiple accounts.

Cross-Platform Sync:

  • They sync your passwords across all your devices, so you have access to your credentials whether you’re on your computer, smartphone, or tablet.

Secure Sharing:

  • Password managers allow you to share passwords securely with trusted contacts without exposing the actual password.

3. Better Password Hygiene

Avoid Reuse:

  • They encourage the use of unique passwords for each account, mitigating the risk associated with password reuse across multiple sites.

Password Health Checks:

  • Many password managers include features that audit your passwords for strength, identifying weak, reused, or compromised passwords and prompting you to update them.

4. Time-Saving

Quick Access:

  • With autofill capabilities, you don’t need to remember or type out complex passwords, streamlining the login process.

Password Recovery:

  • They eliminate the need for frequent password resets and recovery processes, which can be time-consuming and frustrating.

5. Secure Storage of Sensitive Information

Additional Secure Storage:

  • Beyond passwords, many password managers allow secure storage of other sensitive information like credit card numbers, bank account details, secure notes, and personal identification numbers (PINs).

What features do an individual and an organization look for when choosing a password manager?

When selecting a password manager, both individuals and organizations need to consider various features to ensure the tool meets their security, usability, and integration needs. Here's a detailed look at the features to consider for both use cases:

Features for Individuals

  1. Security:
  • End-to-End Encryption: Ensures that passwords are encrypted before they leave the user's device.
  • Two-Factor Authentication (2FA): Adds an extra layer of security by requiring a second form of verification.
  • Biometric Authentication: Allows login using fingerprints or facial recognition for convenience and security.
  • Zero-Knowledge Architecture: Ensures that the service provider cannot access user data.

2. Usability:

  • User-Friendly Interface: Simple and intuitive interface for ease of use.
  • Cross-Platform Support: Availability on various devices and operating systems (Windows, macOS, Linux, Android, iOS).
  • Browser Integration: Extensions for major browsers (Chrome, Firefox, Safari, Edge) for seamless autofill and password saving.
  • Password Generator: A built-in tool to create strong, unique passwords.
  • Import/Export Options: Easy import/export of passwords from/to other managers.

3. Additional Features:

  • Secure Notes Storage: Safe storage for sensitive information like credit card details and secure notes.
  • Dark Web Monitoring: Alerts if any personal information is found on the dark web.
  • Password Health Reports: Tools to check password strength and identify weak or reused passwords.

4. Pricing:

  • Free Tier Availability: Whether a functional free version is available.
  • Cost of Premium Features: Pricing for advanced features and whether it offers good value for money

Features for Organizations

  1. Security:
  • Advanced Encryption Standards: Enterprise-level encryption methods (e.g., AES-256).
  • Granular Access Controls: Ability to set and manage permissions for different user roles.
  • Audit Logs: Comprehensive logs for monitoring access and changes to passwords and accounts.
  • Single Sign-On (SSO) Integration: Compatibility with SSO providers for streamlined access.
  • Compliance: Adherence to industry standards and regulations (e.g., GDPR, HIPAA).

2. Usability and Management:

  • Admin Dashboard: Centralized management console for overseeing all user accounts and credentials.
  • User Provisioning and Deprovisioning: Easy addition and removal of users, with automated processes if possible.
  • Shared Vaults: Secure sharing of passwords and notes among team members.
  • Policy Management: Ability to enforce password policies, such as minimum length and complexity requirements.
  • Scalability: Supports a large number of users and can scale as the organization grows.

3. Integration:

  • Directory Services Integration: Compatibility with Active Directory (AD), LDAP, and other directory services.
  • API Access: Availability of APIs for integration with other enterprise systems and workflows.
  • Application Passwords: Management of passwords for various enterprise applications.

4. Support and Training:

  • Customer Support: Availability of robust support channels, including dedicated account managers and 24/7 support.
  • Training Resources: Access to training materials, webinars, and documentation to help users and admins.

5. Pricing:

  • Team and Enterprise Plans: Various pricing tiers based on the number of users and features.
  • Cost-Effectiveness: Evaluation of the pricing in relation to the features and benefits provided.
  • Volume Discounts: Availability of discounts for large teams or long-term commitments.

Brief on feature choices

For Individuals:

  • Primary Focus: Security, ease of use, cross-platform support, and affordability.
  • Key Features: End-to-end encryption, 2FA, biometric login, password generator, and secure notes.

For Organizations:

  • Primary Focus: Advanced security features, management capabilities, integration with existing systems, and scalability.
  • Key Features: Granular access controls, audit logs, SSO integration, centralized management, and compliance with industry standards.

Recommended Password Managers

  • Individuals: Bitwarden, 1Password, LastPass (noting their recent security improvements).
  • Organizations: 1Password Business, LastPass Enterprise, Keeper for Business, Dashlane Business.

Each password manager has its strengths, and the best choice depends on specific needs and preferences, whether for individual use or organizational requirements.

What are some popular Password Managers at present

  1. LastPass: Known for its user-friendly interface and extensive feature set, including dark web monitoring and password health reports.
  2. Bitwarden: An open-source password manager that offers strong security features and affordability, with options for self-hosting.
  3. 1Password: Offers a premium user experience with unique features like Travel Mode and Watchtower, designed for both individuals and businesses.
  4. Dashlane: Provides robust security features and additional tools like a VPN and dark web monitoring.
  5. Keeper: Known for its high security and additional features like secure file storage and breach monitoring.
  6. NordPass: Developed by the team behind NordVPN, it offers a simple interface and strong security features.

LastPass

Advantages:

  1. User-Friendly Interface: LastPass is renowned for its intuitive and easy-to-use interface, making it accessible for users of all tech levels.
  2. Cross-Platform Support: It offers extensive cross-platform compatibility, working seamlessly across Windows, macOS, Linux, Android, and iOS.
  3. Security Features: Includes advanced security features such as two-factor authentication (2FA), biometric login, and dark web monitoring.
  4. Family and Business Plans: Offers comprehensive family and business plans with shared folders and admin controls, making it suitable for both personal and enterprise use.
  5. Browser Integration: Excellent browser integration with extensions for Chrome, Firefox, Safari, and Edge.

Disadvantages:

  1. Recent Security Concerns: LastPass has faced several security breaches in recent years, which has somewhat tarnished its reputation.
  2. Free Tier Limitations: The free version now limits users to either mobile or desktop access, reducing its flexibility.
  3. Price: The premium version is relatively expensive compared to some competitors, especially after the reduction in free tier benefits.

Pricing:

  • Free: Limited to mobile or desktop access.
  • Premium: $3 per month, billed annually.
  • Family: $4 per month for up to 6 users, billed annually.
  • Teams: $4 per user/month, billed annually.
  • Enterprise: $6 per user/month, billed annually.

Bitwarden

Advantages:

  1. Open Source: Bitwarden is open-source, which allows for greater transparency and security auditing by the community.
  2. Cost-Effective: Offers a robust free tier and affordable premium options.
  3. Security: Strong focus on security with end-to-end encryption, 2FA, and a security audit capability.
  4. Cross-Platform Compatibility: Works on all major operating systems and browsers.
  5. Customization: Highly customizable with self-hosting options for advanced users.

Disadvantages:

  1. User Interface: While functional, Bitwarden's interface is less polished compared to competitors like LastPass and 1Password.
  2. Learning Curve: May have a steeper learning curve for non-technical users, especially when self-hosting.
  3. Customer Support: Limited support options for free tier users.

Pricing:

  • Free: Unlimited password storage on all devices.
  • Premium: $10 per year.
  • Family: $3.33 per month for up to 6 users, billed annually.
  • Teams: $3 per user/month, billed annually.
  • Enterprise: $5 per user/month, billed annually.

1Password

Advantages:

  1. User Experience: Offers a sleek and user-friendly interface with a strong focus on aesthetics and ease of use.
  2. Security: Provides top-notch security features including end-to-end encryption, 2FA, and biometric unlock options.
  3. Rich Features: Includes unique features like Travel Mode (to hide sensitive data when crossing borders) and Watchtower (for security alerts).
  4. Comprehensive Plans: Offers a variety of plans suitable for individuals, families, and businesses.
  5. Integration: Excellent integration with major browsers and operating systems.

Disadvantages:

  1. Price: Generally more expensive than other password managers, which might be a deterrent for some users.
  2. No Free Tier: Does not offer a free tier, only a 14-day free trial.
  3. Complexity: The plethora of features can be overwhelming for new users.

Pricing:

  • Individual: $2.99 per month, billed annually.
  • Family: $4.99 per month for up to 5 users, billed annually.
  • Teams: $3.99 per user/month, billed annually.
  • Business: $7.99 per user/month, billed annually.

Other password manager tools that you can consider

1. Dashlane

Advantages:

  • Strong security features including dark web monitoring and VPN.
  • User-friendly interface with automatic password changer.

Disadvantages:

  • Expensive compared to other options.
  • Limited free version.

Pricing:

  • Free: Limited to 50 passwords on one device.
  • Premium: $6.49 per month, billed annually.
  • Family: $8.99 per month for up to 6 users, billed annually.

2. Keeper

Advantages:

  • Highly secure with a zero-knowledge policy and multiple layers of encryption.
  • Offers additional security features like secure file storage.

Disadvantages:

  • Can be more expensive.
  • Interface may not be as user-friendly as competitors.

Pricing:

  • Individual: $2.91 per month, billed annually.
  • Family: $6.24 per month for up to 5 users, billed annually.
  • Business: $4 per user/month, billed annually.

3. NordPass

Advantages:

  • Developed by the team behind NordVPN, ensuring robust security.
  • Simple, clean interface suitable for non-tech savvy users.

Disadvantages:

  • Still relatively new, so it lacks some advanced features.
  • No free tier.

Pricing:

  • Premium: $4.99 per month, billed annually.
  • Family: $7.99 per month for up to 6 users, billed annually.

Security Breaches of Password Managers

Being into security, one of the criteria to select any tool is to check its past data breaches to decide which one to pick finally.

Below is a summary of notable security incidents for LastPass, Bitwarden, and 1Password, along with the security status of their competitors.

LastPass

Notable Incidents:

  1. 2015 Security Breach: In June 2015, LastPass experienced a data breach where attackers accessed email addresses, password reminders, server per user salts, and authentication hashes. LastPass assured that encrypted vaults were not compromised and strengthened their security measures post-incident.
  2. 2022 Security Breach: In August 2022, LastPass disclosed a security breach involving their development environment. Attackers gained access through a compromised developer account, but no customer data or vaults were affected.

Response: LastPass has implemented several improvements to their security infrastructure, including enhanced encryption methods and increased monitoring to prevent future breaches.

Bitwarden

Notable Incidents:

  • No Major Publicized Breaches: As of now, Bitwarden has not reported any major security breaches. Being open-source, it benefits from community scrutiny which helps identify and fix vulnerabilities promptly.

Security Practices: Bitwarden undergoes regular third-party security audits and offers a transparent security model, enhancing trust through continuous community and professional assessment.

1Password

Notable Incidents:

  • No Major Publicized Breaches: 1Password has maintained a strong security record with no significant publicized security breaches.

Security Practices: 1Password conducts frequent third-party audits, and security researchers are encouraged to report vulnerabilities. They also employ end-to-end encryption to ensure that even if data is intercepted, it remains unreadable without the master password.

Breach for Competitors

Dashlane

Notable Incidents:

  • No Major Publicized Breaches: Dashlane has not reported any significant security breaches publicly.

Security Practices: Dashlane uses AES-256 encryption and has undergone multiple security audits to ensure the robustness of its security infrastructure.

Keeper

Notable Incidents:

  • 2017 Legal Incident: Keeper was involved in a legal case where a vulnerability was publicly disclosed. The issue was related to an autofill plugin vulnerability which Keeper promptly addressed.

Security Practices: The Keeper follows a zero-knowledge policy and undergoes regular security audits to maintain its strong security posture.

NordPass

Notable Incidents:

  • No Major Publicized Breaches: NordPass has not reported any significant security breaches.

Security Practices: NordPass, developed by the team behind NordVPN, leverages its security expertise to maintain a robust security framework with regular audits and stringent encryption standards.

Summary

Choosing the right password manager depends on individual needs and preferences. LastPass offers a user-friendly interface and robust business plans but has faced recent security issues. Bitwarden stands out for its open-source nature and affordability, though its interface may not be as polished. 1Password provides a premium user experience with advanced features, albeit at a higher cost. Competitors like Dashlane, Keeper, and NordPass also offer strong alternatives with unique features that cater to various user requirements.

Ultimately, the best password manager is one that balances security, usability, and cost according to your specific needs.

If you find it useful, don’t forget to leave your comment and share.

And yeah you can follow me on LinkedIn and GitHub

Originally published at https://www.aliencoders.org on May 19, 2024.

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Sanjeev Jaiswal (Jassi)

Cloud Security, Application Security, DevSecOps, Python, Author, Trainer. I also provide career guidance to freshers and professionals in cybersecurity space.