MSPs
PASSWORD PERIL Weak credential practices are leaving gaps that cybercriminals are exploiting
Chris Skipworth, CEO of Passpack, outlines the everyday password habits that are exposing MSPs and their clients to avoidable risk — and what must change to restore control.
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Chris Skipworth, CEO of Passpack
sk any attacker where to find the most value for the least effort, and the answer would probably be the managed service
provider. MSPs hold admin credentials, privileged logins, and client system access across every environment they manage, all flowing through a single provider. Compromise one credential in the right place, and the blast radius extends far beyond a single organisation. For attackers, that leverage is worth targeting. For MSPs, it raises a profound question: Is how we manage credentials actually appropriate for the level of access we hold? MSPs oſten accumulate credentials the
way they accumulate complexity: gradually, informally, and without a clear view of the whole. A new client is onboarded, logins are handed to technicians, and systems go live. Ten another client, then another. Before long, hundreds of credentials are spread across a team with no single owner and no clear map of who has access to what, or why.
42 | May/June 2026 Smaller providers are especially exposed.
Without a defined policy, credential management defaults to whoever is most technical or whoever set the account up first. Passwords may end up in spreadsheets. Access might be shared over email. A technician leaves, and their client logins persist because no process exists to revoke them. Larger MSPs face the same issue at scale: more clients, more systems, more credentials, and more ways for access to sprawl unchecked. Te attack surface is already large; informal processes expand it further. Te breach data reflects this. CyberSmart’s
MSP research found that 69% of MSPs experienced multiple breaches in the past year. Te reason is the breadth of access they hold across client environments. Not to mention the inconsistent credential governance that could lead to access not being as controlled as it should be.
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