Security

Password management for teams

Sharing passwords in chat puts your team's security at risk. In this article, learn about proper password management methods, suitable tools, and common mistakes.

Security

Password Management in Teams; A More Serious Issue Than You Think

In many technical and non-technical teams, sharing passwords through messengers or email has become a daily habit. You may have also experienced typing a password in Telegram or Slack to give a new colleague access to the website admin panel or database. At first glance, this seems simple and fast, but in reality, it is one of the biggest security risks that can expose your entire infrastructure to intrusion. In this article, we will examine the reasons why this method is dangerous and the proper solutions for password management in teams.

Why Is Sharing Passwords in Chat Dangerous?

When you send a password in chat, you practically lose control over it. This creates several fundamental problems, the most important of which we will mention below.

1. Uncontrollable Persistence in Chat History

Chat messages are usually saved by default. Even if you delete the message, backup copies, server logs, or screenshots taken by team members may retain it. A password sent in chat is practically never completely erased. If a team member leaves the project or their device is stolen, this password becomes accessible to people who should not have access to it.

2. Lack of an Audit Trail

In proper password management, you should be able to see who accessed which service, and when. When passwords are exchanged in chat, there is no record of these accesses. If a security incident occurs, you cannot determine whether the password was leaked through chat or through another route.

3. Risk of Phishing and Social Engineering Attacks

Hackers know very well that teams share their passwords in chat. They can create a fake account in the name of a team member and ask others to resend the password. This type of social engineering attack is very common in chat environments and is difficult for regular users to detect.

4. Inability to Change Passwords Quickly and Centrally

Suppose one of your team members has lost their laptop. Ideally, you should immediately change the passwords for all sensitive services. But if passwords are scattered across different chats, you don't know which password was given to whom and which ones need to be changed. This confusion usually results in passwords not being changed and the security risk remaining.

The Proper Solution: Using a Team Password Manager

The correct alternative to sharing passwords in chat is using an organizational password manager. These tools are specifically designed for password management in teams and offer features beyond simple storage.

What Is a Password Manager and How Does It Work?

A Password Manager stores your passwords in an encrypted vault. Access to this vault is only possible with a master password. In team versions, the system administrator can determine which passwords each user has access to and revoke these accesses at any moment.

Popular tools in this area include: 1Password, Bitwarden, LastPass, and Keeper. Most of these tools have free versions or free versions for small teams. For example, Bitwarden offers a free version with limited but practical features that is sufficient for small teams.

Structuring the Password Vault in a Team

To use a Password Manager optimally, you need a clear structure for organizing passwords. A suggested pattern is as follows:

  • Separate Vault for Each Project: Instead of putting all passwords in one vault, create a separate vault for each project. This simplifies access management and increases security.
  • Categorization by Sensitivity Level: Place database and server passwords in the "sensitive" category and social media passwords in the "general" category.
  • Use of Additional Fields: For each password, record supplementary information such as IP address, username, and specific notes in separate fields.

Managing Accesses and Roles

One of the most important advantages of a team Password Manager is the ability to define different roles. For example:

  • Admin: Full access to all Vaults and the ability to manage users.
  • Member: Access to designated Vaults and the ability to use passwords.
  • Guest: Temporary access to one or more specific passwords for a limited period.

This structure allows you to simply revoke a colleague's access when they leave the team, without needing to change all passwords.

Practical Implementation: Setting Up Bitwarden for a Team

To follow the topic more practically, let's review the steps for setting up Bitwarden step by step. This tool, due to being open-source and allowing installation on a personal server, is a suitable option for technical teams.

Step One: Creating an Organization and Inviting Members

First, create an account on the bitwarden.com website. Then, from the main menu, select the New Organization option. For small teams, the free plan, which includes 2 users and 3 Vaults, can be a good start. After creating the organization, you can invite team members by email from the Manage > People section.

Step Two: Creating a Vault and Adding Passwords

In the Vaults section, create a new Vault with the project name. Then, by clicking on the Add Item option, enter the information for each service. For example, for connecting to a MySQL database:

Name: MySQL Production
Type: Login
Username: db_admin
Password: (generated by Password Generator)
URI: mysql://192.168.1.10:3306
Notes: Only accessible via VPN

Be sure to use the Generate Password button to create strong passwords. This tool generates passwords with a combination of uppercase letters, lowercase letters, numbers, and symbols that are practically impossible to crack.

Step Three: Secure Sharing with Members

For a team member to have access to a password, simply select the Share option in the Vault Settings section and add the user's email. The user will receive an invitation in their email, and after accepting it, the password will appear in their account. The password is never sent as plain text in chat or email.

Common Mistakes in Team Password Management

Even when using a Password Manager, some common mistakes can jeopardize your security. Below, we mention the most important ones.

Using the Same Password for Multiple Services

This is the biggest mistake. If one password is used for email, database, and admin panel, compromising one means compromising all. Always generate a unique password for each service. A Password Manager makes this easy for you because you don't need to memorize the passwords.

Not Enabling Two-Factor Authentication (2FA)

Even the strongest password is not enough if used alone. Be sure to enable two-factor authentication for the main Password Manager account and all sensitive services. For this, you can use applications such as Google Authenticator or Authy.

Ignoring Regular Password Updates

Passwords should be changed periodically, especially when a team member leaves or a device is lost. In a Password Manager, you can set an expiration date for each password so the system reminds you when it's time to change it.

Troubleshooting Tips and Common Issues

You may encounter problems when using a Password Manager. Here, we examine a few common cases and their solutions.

Forgetting the Master Password

The master password is the only password you need to remember. If you forget it, there is no way to recover the stored passwords, even for the system administrator. Solution: Use a long and memorable passphrase and write it down in a secure physical location (such as a safe). Some tools like 1Password have an emergency recovery option (Emergency Kit) that you should print and keep.

Passwords Not Syncing Between Devices

If passwords are not updating on one device, first make sure the application is updated to the latest version. Then, from the settings, run the Sync option. In most cases, the issue is related to internet connection or firewall. If the problem persists, logging out and logging back in usually resolves it.

A Member Cannot Access a Shared Vault

This issue is usually due to incorrect access settings. From the Manage > Groups section, make sure the user has been added to the correct group. Also, check that the Vault has been properly shared with that group.

Conclusion: Migrate from Chat to Professional Password Management

Sharing passwords in chat is a serious security risk that can have irreparable consequences for your business. By using organizational password management tools, you not only increase your team's security but also make the process of accessing services simpler and more transparent. If you are looking for a secure infrastructure for your team, paying attention to security at various layers, including password management, is the right first step. Web hosting services and cloud infrastructure can be part of this security chain, but the responsibility for managing accesses and passwords lies with you.

Get started: choose a Password Manager, invite your team, and transfer all the passwords scattered across chats into a secure vault. This may take a few hours, but in the long run, it protects you from cyber attacks, data breaches, and heavy recovery costs. Your team's security is worth this investment.

ServerNet Support

ServerNet engineering & editorial team — specialists in infrastructure, networking and web hosting.

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