Episode 75: Password Policy Design and Management
Welcome to The Bare Metal Cyber CISSP Prepcast. This series helps you prepare for the ISC squared CISSP exam with focused explanations and practical context.
In today’s episode, we’re going to focus on something deceptively simple but critically important: password policy design and management. Passwords remain the front line of defense for countless digital systems, and yet, they continue to be one of the most exploited weaknesses in cybersecurity.
Let’s start with the role of password policies. A well-crafted password policy establishes standards for how users create, store, and use passwords. These policies don’t just exist to check a compliance box—they directly reduce the likelihood of unauthorized access. Weak passwords or mismanaged credentials are among the leading causes of data breaches worldwide. Creating effective policies ensures better protection, promotes user awareness, and supports both security and usability.
An effective password policy doesn’t just say “make your password long.” It should include multiple elements: password complexity requirements, rules for password expiration, guidance around reuse and history, and most importantly, rules for secure storage and transmission.
So what makes up a strong password policy? First, complexity rules should require a mix of uppercase and lowercase letters, numbers, special characters, and enforce a minimum length. Eight characters used to be the norm, but today, twelve or more characters is recommended, especially when passwords are the primary method of authentication.
Next, include expiration intervals—though modern thinking has evolved on this. Requiring frequent password changes can actually backfire, as users may resort to predictable patterns. Today’s guidance, including from NIST, favors changing passwords only when there’s evidence of compromise—not simply on a fixed schedule.
Password reuse restrictions are also vital. Users should not be able to rotate through the same five passwords. Implement a password history check to prevent repetitive use and force the creation of new, unique credentials.
Now let’s talk about how passwords are stored. Never store passwords in plaintext. That should go without saying, but incidents continue to prove otherwise. Use a strong hashing algorithm—preferably salted and hashed using bcrypt, Argon2, or SHA-512. Secure password storage is non-negotiable.
Don’t forget the human side of password policy. Users need training. Most security professionals are aware of the risks—but the average employee may not know the difference between a weak password and a strong one. Teach them how to create secure passphrases and emphasize the risks of password sharing, reuse, or insecure storage.
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Let’s now look at best practices for password management. One smart recommendation is to encourage the use of passphrases. These are longer and easier to remember than complex strings. For example, “RedTacosSwimFast!” is far stronger and more memorable than “T4$9x!2n”.
Multi-factor authentication, or MFA, should be standard. Passwords are a single point of failure. Adding an additional factor—whether something you have or something you are—provides much stronger protection.
For organizations managing multiple platforms and credentials, password managers can help users create, store, and autofill secure passwords without resorting to sticky notes or spreadsheet hacks.
Use monitoring tools and breach notification services to stay alert. If a user’s password appears in a credential dump or known breach, force an immediate reset and initiate a risk review.
Auditing plays a key role as well. Regularly assess password compliance across your systems. Are users adhering to your policy? Are your systems flagging and logging suspicious login activity?
Now let’s shift into implementation. A password policy must be clearly written, formally approved, and universally enforced. Document requirements for complexity, reuse, MFA, reset processes, and storage expectations. Don’t assume users or admins will apply them without guidance.
Use automated enforcement mechanisms. Within your IAM platform or directory service, define policy settings that are system-enforced, not just advisory. This removes human error and ensures consistent application.
Educate users regularly. Offer workshops, publish reminders, and integrate training into onboarding. Security awareness around password hygiene must be continuous—not just once a year during compliance week.
And update the policy regularly. Threats change. Technology changes. A password policy should not be static. Review it annually and after every major incident, breach, or system overhaul.
Let’s now review the security controls that support strong password management. Start with secure storage. Your systems should hash and salt passwords using modern, vetted algorithms. Never allow plaintext storage—not even in logs, test environments, or backup databases.
Monitoring tools are essential. Deploy alerts for brute-force attempts, excessive login failures, and unusual login times or geolocations. Passwords are under constant attack. You need real-time visibility.
Implement account lockouts and rate limiting. If someone guesses wrong five times in a row, that account should be locked until manually released or a defined period passes. This deters automated guessing and credential stuffing.
Don’t forget audit logging. All password-related activities—resets, changes, lockouts, authentication events—must be logged. These logs support incident response and provide evidence for compliance and investigations.
Lastly, encrypt passwords during transmission. Any password sent across the wire—whether for authentication or reset—must be protected using TLS or other secure transmission protocols.
As always, the final ingredient is continuous improvement. Threat actors evolve. So should your password strategy. Regularly review your practices, policies, and incident logs. Stay current on the latest NIST and CIS guidelines.
Collaborate across teams. Security, HR, compliance, and IT must all be aligned. Password policies intersect with user onboarding, system design, training, and incident response.
And maintain training. Employees should know what a secure password looks like. They should know how to use MFA and how to recognize a phishing attack designed to steal their credentials.
By committing to continuous review, training, and technical improvement, your organization can turn passwords from a liability into a strength.
Thanks for joining us for this episode of The Bare Metal Cyber CISSP Prepcast. For more episodes, tools, and study support, visit us at bare metal cyber dot com.
