Protect Your Business: Never Underestimate the Importance of Strong Passwords

Legal
Published

May 4 is World Password Day, created by Intel several years ago to raise awareness about the importance of strong passwords and to promote better password habits. Passwords are critical gatekeepers to your (and your clients’) digital information, business records and identities.

Use today to review your password practices to ensure your first line of defense in your company’s cybersecurity plan is strong.

What are some good password practices? Here are several, courtesy of the Federal Trade Commission:

  • Make your password long, strong and complex. That means at least twelve characters, mixed with uppercase and lowercase letters, numbers and symbols. Avoid common words, phrases or information in your passwords.
  • Don’t reuse passwords used on other accounts. Use different passwords for different accounts so that if a hacker compromises one account, they can’t access other accounts.
  • Use multi-factor authentication, when available. For accounts that support it, two-factor authentication requires both your password and an additional piece of information to log in. The second piece could be a code sent to your phone, or a random number generated by an app or token. This protects your account even if your password is compromised.
  • Consider a password manager. Most people have trouble keeping track of all their passwords. Consider storing your passwords and security questions in a reputable password manager, an easy-to-access application that stores all your password information. Use a strong password to secure the information in your password manager.
  • Select security questions only you know the answer to. Many security questions ask for answers to information available in public records or online, like your zip code, mother’s maiden name, and birth place. That is information a motivated attacker can obtain. Don’t use questions with a limited number of responses that attackers can easily guess – like the color of your first car.
  • Change passwords quickly if there is a breach. If you receive a notification from a company about a possible breach, change that password and any account that uses a similar password immediately.

For more information on keeping your information secure visit NAHB’s data privacy and cybersecurity resources.

 

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Sponsored Content

Jan 30, 2026

What 700+ Real Estate Pros Say About Marketing in 2026 and Where Builders Are Losing Ground

Heading into 2026, businesses across real estate are planning for growth — but with caution. Results from a recent survey point to a clear shift: while marketing investment is holding strong, the biggest opportunity – and risk – now sits in responsiveness and follow-up.

Land Development

Jan 30, 2026

How Can Density and Varying Housing Types Influence Local Tax Bases?

Developed in partnership with Urban3, NAHB’s new Value of Land Use Efficiency video and infographic resource takes a data-driven look at how a wide range of residential development types contribute to local tax bases relative to the public services they require.

View all

Latest Economic News

Economics

Jan 30, 2026

Bathroom Remodeling Is Most Common Project in 2025

Every quarter, the National Association of Home Builders (NAHB) conducts a survey of professional remodelers. The first part of the survey collects the information required to produce the NAHB/Westlake Royal Remodeling Market Index (RMI).

Economics

Jan 29, 2026

Saving Rate Falls to 3.5% in November

Personal income rose 0.3% in November 2025, following a 0.1% increase in October, according to the latest data from the Bureau of Economic Analysis. Gains were largely driven by higher wages and dividend income. However, income growth has cooled noticeably from peaking at a monthly increase of 1.1% in July 2022 to 0.3% now.

Economics

Jan 28, 2026

Holding Pattern for the Fed

The Fed paused its easing cycle at the conclusion of the January meeting of the Federal Open Market Committee, the central bank’s monetary policy body. The Fed held the short-term federal funds rate at a top rate of 3.75%, the level set in December. This marked the first policy pause since the Fed resumed easing in September of last year.