IT Asset Management (ITAM)

A password manager has one primary function, it stores and remembers all your passwords so you don't have to. It will also store your passwords (Gmail, Facebook etc.) and personal information (credit card information and all) in an encrypted file, which protects the confidential data from attackers with physical access to your desktop or mobile device.

The encrypted file is accessible only through the use of a master password (one-key access). That means all you have to do is remember one password for the password manager, and then it will remember all your other passwords, bank and credit card information and other forms of data in the encrypted file.

A password-protected vault of passwords simplifies access to websites that require logins. Memorizing one master password is easier than memorizing a few passwords or, worse yet, dozens of passwords. According to the Google survey, 37% of people surveyed said they keep track of their passwords by writing them on a piece of paper.

Password managers protect the data they store through what's known as encryption. This process scrambles data so that it's tougher for hackers, cyber crooks and others to access your personal information, such as Social Security numbers and credit card numbers. Compared with storing your passwords on a piece of paper in your desk or in a digital file stored on your laptop, encryption with a password manager is akin to locking passwords up in a bank vault.

Secure password managers are extremely difficult to compromise. The usage of AES-256 encryption, the “zero-knowledge” technique, and the possibility to use two-factor authentication make password managers a much safer and easier option than basically anything else available at the moment.

When it comes to safety, the most important thing from your side is the master password, as you have to create one in order to access all the other passwords.