Did you try passwd? sudo passwd (username) it said my password was bad, but it didn't stop me.
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I've mentioned I have already tried passwd. It complains over the length, in the end claims it was changed, but when I try authenticate something it says my new password isn't correct and old one is still the active one. I don't get it why installer can override it without any complaining, but anything after it's impossible to do it, even through Terminal.
I gotta be honest, I think that's a genuine bug. If passwd says it was changed, it should be changed. I tested on my 24.04 system and it worked correctly, I don't have any 25.04 systems to test.
You rebooted after changing it just in case right?
Yesterday I want to authenticate something and it suddenly complained the password is not correct. It has then changed it suddenly. I've done a system restart last time I did the password change. So bizarre. I've tried it twice and it didn't change it, but then it just did it on its own later. How does that make any sense?!
You could try sudo passwd username
. If you're using it as a remote system via ssh, I'd strongly recommend to use key-based with instead. It's both easier and more secure.
~~I've never tried to set a password that short, but I would start with passwd on the command line.~~
Looks like an update to minlen in /etc/security/pwquality.conf may solve it.
I would also look into Auto Login, as well.
Edit: And if it's a remote system, I would definitely set up a password-less SSH key, instead, of course.