Why Storing Passwords in a Spreadsheet Is a Bad Idea

To prevent any unwanted security breaches, a dedicated password manager is the more secure alternative.

While it may not seem as straightforward as your trusty spreadsheet, we guarantee that the advantages outweigh any learning curve.

Many of us turn to spreadsheets for data storage purposes. It’s a familiar solution, easily available, and, above all else, free.

Moreover, spreadsheets are relatively easy to use and offer various customization options for maximum organization – columns for website, username, password, and even any necessary notes.

If this sounds familiar, rest assured that you’re not alone. And if you must store your passwords in a spreadsheet, make sure to password-protect your file to minimize risks.

However, a spreadsheet still lacks key features for effortless, secure password management.

Plain text means no encryption, which means anyone who can open your file can read everything. Unfortunately, even password-protected files can easily be cracked with free, online tools.

On the other hand, password managers like Keeper offer multi-layered encryption that encrypts data locally with specialized keys, ensuring your information is unreadable even if it’s accessed by unauthorized users.

Without any encryption, spreadsheet files are easy targets for malware.

Modern credential-stealing malware, such as RedLine and Raccoon, specifically scans for password files on infected devices. Once found, these spreadsheets can be exfiltrated and sold on the dark web in the blink of an eye.

Unfortunately, this isn’t simply a theoretical risk, but a well-documented, active attack vector. Protection against malware is key to effectively secure your passwords.

Even more dangerous than a spreadsheet saved locally is a spreadsheet that’s synced to the cloud – whether that be to Google Drive, OneDrive, or Dropbox.

Once your files are cloud-synced, they’re available on multiple devices, making them all that much more vulnerable. If you store Google Sheets passwords in a shared or compromised account, every credential in that file can become exposed at once.

Sharing permissions alone can compromise your security, as your files may already have been copied or downloaded even after you revoke permissions.

Breach monitoring provides real-time insight into leaked data and vulnerable accounts, and immediately alerts you if your data is exposed.

However, spreadsheets are static, meaning that there’s no monitoring and there’s no way to know ahead of time if your credentials are included in a data breach. When you find out, it’s already too late.

Password managers with breach monitoring proactively alert you, ensuring you can take the necessary measures to protect your data.

If you’re using a spreadsheet to store your passwords, chances are you’re:

• Reusing passwords;
• Not updating them as often as you should;
• Completely overlooking some.

Not only is this manual management a hassle, but it’s also actively endangering your data security.

While outdated passwords can be a problem, reused passwords are an even bigger one – you may be a victim of credential stuffing. This is a cyberattack that exploits password reuse through automated tools that test massive lists of real credentials.

Password managers keep your passwords in check, reminding you to update them, preventing you from reusing them, and letting you easily save new passwords right on the platform you need them for.

Password-protecting your spreadsheet isn’t enough, as there are many tools available online that can easily bypass it. You can think of password-protection as installing a lock on a screen door – breaching it requires no technical skill, just malicious intent.

In the case of spreadsheets such as Google Sheets, they rely solely on your Google account’s security. If anyone is able to access your Google account, they can easily access your spreadsheets and any stored passwords.

Using Excel spreadsheet passwords may feel safer, but Excel’s built-in protection is still not strong enough for storing sensitive login details.

Password managers keep all your details secure through real encryption. Even if someone has your file.

Toss the spreadsheet and get yourself a tool that is built specifically to protect your data.

A password manager is built for secure password storage, combining encryption, breach alerts, and safer sharing in one place.

Password managers like Keeper also implement a zero-knowledge architecture, meaning that not even the company behind your preferred password manager can access your data.

Additional perks often include autofill, breach monitoring, cross-device sync, and secure sharing. Some providers also support biometric login. For additional peace of mind, we recommend looking for companies that have never been breached.

While moving all your passwords from a spreadsheet to a password manager may seem daunting, password managers have been around long enough to make this process easier.

Many providers support CSV import, making it much easier to move from a spreadsheet to a password manager without rebuilding your vault from scratch.

At the end of the day, spreadsheets weren’t built to store sensitive data like your passwords.

Moving from a spreadsheet to a password manager can feel like a great undertaking. However, nowadays this generally only entails a one-time import via solutions such as Keeper, which even provide cross-device access from day one.

And the peace of mind from knowing your data is more secure than ever before? Priceless.

Playing safe now and making the switch can prevent serious problems in the future should the wrong people get their hands on your passwords.