"People can no longer remember passwords good enough to reliably
defend against dictionary attacks, and are much more secure if they
choose a password too complicated to remember and then write it down,"
Schneier writes in his latest Cryptogram newsletter.
Using a password database (such as his own free PasswordSafe utility)
is one option. But Schneier is also enthusiastic about a much more
low-tech approach - think of difficult-to-guess passwords, write them
down and keep them on a bit of paper in your wallet.
"We're all good at securing small pieces of paper. I recommend that
people write their valuable passwords down on a small piece of paper,
and keep it with their other valuable small pieces of paper: in their
wallet," he writes.
The technique could be modified for a little extra security. "Obscure
it somehow if you want added security: write "bank" instead of the URL
of your bank, transpose some of the characters, leave off your userid.
This will give you a little bit of time if you lose your wallet and
have to change your passwords. But even if you don't do any of this,
writing down your impossible-to-memorize password is more secure than
making your password easy to memorize," he concludes.
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