Data Security Advice: Why You Need a Strong Password Policy

Customers fear privacy leaks. Globally, 85% of internet users seek to enhance their online privacy protection. Enforcing a strong password policy and encouraging secure passwords are important for data security in such a high-risk environment.

With most of your personal information and private communication being stored online, you need a strong password policy to address cybersecurity risks.

What is a strong password policy?

A strong password policy is an organization’s first line of defense against intruders. It refers to a set of rules you enforce to improve security. These rules encourage users to create strong passwords and store them properly.

Password policies detail:

• How passwords should be stored
• When to update passwords
• How to use passwords

Organizations often enact a strong password policy as part of their security awareness training. These policies, when combined with tools like SiteLock Security, which monitors for vulnerabilities, provide a comprehensive approach to safeguarding sensitive information.

Why is password security important?

Businesses should never underscore the importance of password security. In 2024, 81% of data breaches are due to weak or stolen passwords. An organization’s passwords are as strong as its password policy, so enforcing a strong password goes a long way in maintaining a baseline security level. 

Here are some scenarios that illustrate the importance of password security:

Network security

Weak passwords make it easy for cybercriminals to enter your infrastructure.

In 2023, the FBI’s Internet Crime Complaint Center (IC3) received over 800,000 cybercrime complaints, with reported losses exceeding $10 billion, highlighting the escalating threat landscape in the U.S.

This alarming rise in cybercrime underlines the importance of enforcing strong password policies. 

You can prevent these password attacks by having a strong password policy.

For example, it would be difficult for cybercriminals to perform a brute force attack – a cyberattack wherein they break into your account by decrypting passwords using powerful computing machines and trying all combinations — if you have a strong password.

Additionally, integrating SSL Certificates into your website infrastructure encrypts data transmission, making it harder for attackers to intercept and misuse sensitive information. 

Accountability

A strong password policy includes guidelines for user authentication.

Implementing multi-factor authentication (MFA), such as biometrics or smart cards, can provide additional security and help track activity on company or customer systems.

Detection of password sharing or reuse

High password security can help detect unauthorized access, such as when users share passwords or use each other’s accounts.  

Approximately 65% of people reuse the same password across multiple accounts, posing a significant risk to data security.

Secure password guidelines

Now that you know the importance of password security, let’s delve into the characteristics of a strong or complex password.

The U.S. National Institute of Standards and Technology (NIST) released Digital Identity Guidelines, which organizations can implement to create a strong password policy. The NIST recommends these guidelines when creating a secure password:

Password complexity

While enforcing a strong password policy, you need to set requirements that prevent users from creating weak passwords. You can do so by increasing your password complexity by requiring:

• Numbers
• Uppercase letters
• Lowercase letters
• Special characters

Password length

A long password is a strong password, as each additional character means more variations — making it harder for brute force attacks to break through.

For a strong password policy, you must generate longer passwords. It complements password complexity.

The NIST encourages users to choose long passwords or passphrases of up to 64 characters (including spaces).

Other studies have also shown that password length was a primary factor of password strength.

Key elements of a strong password policy

You need to cover the following security essentials for a strong password policy.

Set a minimum password length

NIST recommends a minimum password length of at least eight characters, but they suggest that longer passwords, such as passphrases, are even better.    

Passphrases should ideally be around 15 characters. 

Set a minimum and maximum password age

NIST no longer recommends mandatory password changes after a set period unless there is a suspicion of a security breach. This helps avoid situations where users revert to weaker passwords or use predictable patterns. 

3. Enable multi-factor authentication

Multi-factor authentication (MFA) is used to verify a user, application or device by presenting several identifiers.

It provides an extra layer of security by requiring users to verify using an email or a phone number to access their account, reducing the likelihood of cyberattacks.

NIST strongly recommends using MFA to provide additional security. 

Restrict password reuse

Although most users understand that simple passwords pose a security risk. It is suggested to use password managers to store the password securely.  

But while recycling is good for the environment, it’s not for data protection. That’s why you should enforce a password history requirement to limit the use of previous passwords.

Restrict failed login attempts

For a strong password policy and network security, you must restrict the number of failed login attempts.

Plugins like Login LockDown record the IP address and timestamp of every failed login attempt. If the number of failed attempts from the same IP range exceeds the set point, it locks down the login function.

In addition to this, using services like CodeGuard can automatically back up your data, ensuring that even if a breach occurs, your website and information can be quickly restored without losing valuable data.  

Practical tips for strong password security  

As cybercrime techniques continually evolve, it’s essential to update your education and awareness campaigns. Continuously educate both employees and customers with these password policy best practices:

Never share your password with others

Your login credentials protect information as important as the money in your bank account. If you encounter someone asking for your password, it’s a scam. Report it to IT support in your company and don’t share your password. 

Use different passwords for each account

You use different keys for your house, car or mailbox. The same should be true for your online accounts.

Avoid using the same password for multiple sites. If a hacker gains access to one account, they will often test the same password on other websites to exploit additional accounts. By using unique passwords for each account, you minimize the risk of a single breach compromising your other accounts.

Use a password manager

Google shares that 75% of users find it difficult to manage their passwords; thus, they resort to common passwords.

Password managers can resolve that. They encourage complex passwords while eliminating the need to remember them as they store passwords and even generate unique, complicated passwords for you. 

Popular password managers include LastPass, Dashlane, OneLogin, RoboForm, KeePass and 1Password.

Don’t login from public computers

Using public computers poses a security risk. You don’t know if the owner or previous user installed malware or other malicious software to steal your password.

Someone can also look over your shoulder to view your password. Or you might forget to log out of the computer — leaving your login credentials — letting the next visitor log into your account.

Whether your employees are using a public computer or not, remind users and employees to log out of their accounts after use.

Check whether your passwords have been compromised

Web browser extensions like Mozilla’s Firefox Monitor and Google’s Password Checkup can show you your email addresses and passwords that have been compromised in a data breach.

Create a secure password

Follow the best practices for creating a strong password, such as:

• Passwords must be at least 8 characters.
• Passwords must contain a mix of different characters — uppercase, lowercase, numbers and special characters.
• Your password must not contain personal information.
• Do not reuse old passwords.

Take control of your online safety

With cyberattacks happening left and right, you cannot ignore the importance of password security. Furthermore, it’s your responsibility to keep your customers and their data safe. One way to do so is by creating and enforcing a robust password strategy. 

For comprehensive data security, combine a strong password policy with additional protection measures like Bluehost Security Tools. Solutions like SiteLock Security, CodeGuard, and SSL Certificates not only safeguard against cyber threats but also ensure that your sensitive information and website data remain secure and recoverable.

Frequently asked questions  

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