Fix Outlook 2016 Exchange Sign-In and Repeated Password Prompts
Question details
The user is experiencing repeated password prompts and failures when attempting to automatically set up or connect to an Exchange account in Outlook 2016.

- Product
- Outlook 2016
- Device & OS
- Windows
- Scenario
- Setting up a new Exchange email account or launching Outlook 2016 to access an existing Exchange mailbox.
- Observed behavior
- Outlook 2016 repeatedly prompts the user for their password, fails to accept the correct credentials, and cannot complete the automatic Exchange account setup process.
Ensure you have your correct Exchange account username and password on hand, and verify with your IT administrator that your account is currently active and not locked out due to multiple failed login attempts.
Clear Cached Exchange Credentials in Windows
Removing outdated or corrupted cached passwords from the Windows Credential Manager is the most reliable way to resolve the Outlook password prompt loop.
When you check the 'Remember my credentials' box, Windows saves your password. If your password expires or the cached data becomes corrupted, Outlook will continuously prompt you for a password because the background authentication fails.
Ensure that Microsoft Outlook 2016 is completely closed. Check your system tray in the bottom right corner to ensure it is not running in the background.
Click the Windows Start button, type 'Control Panel', and press Enter. In the Control Panel, change the view to Large or Small icons, then click on 'Credential Manager'.
Click on 'Windows Credentials'. Scroll down through the list and look for any entries that contain 'MSOutlook', 'MicrosoftOffice', or your Exchange email address.
Click the dropdown arrow next to the relevant credential and select 'Remove'. Confirm the deletion when prompted by the system.
Open Outlook 2016 again. When the sign-in prompt appears, enter your current password and check the 'Remember my credentials' box to save the updated login information.

Install Outlook Updates and Check Autodiscover
Updating the Outlook application and ensuring Autodiscover is properly configured can fix bugs preventing automatic Exchange connection.
Try WPS Office for a Seamless Document Experience
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- 1. Download the Installer: Visit the official WPS Office website and click the free download button to get the latest installation package.
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Frequently Asked Questions
Why does Outlook 2016 keep asking for my Exchange password even when it is correct?
This usually occurs because the Windows Credential Manager is holding onto an outdated, expired, or corrupted password for your Exchange account. Outlook tries to use the saved password in the background, fails, and then prompts you again. Clearing the cached credentials usually breaks this loop.
What is Exchange Autodiscover and why is it important for Outlook 2016?
Autodiscover is a Microsoft Exchange service that automatically configures your Outlook profile using just your email address and password. If the Autodiscover DNS records are missing or misconfigured on your network, Outlook cannot locate the server settings, resulting in failed automatic setups and recurring connection prompts.
How do I know if my Exchange account is locked out?
If you have typed the correct password multiple times but still receive an 'access denied' or continuous password prompt, your account may have been temporarily locked by your organization's security policies due to too many failed login attempts. You will need to reach out to your IT administrator to have the account unlocked.




