Step-By-Step: Enabling App Passwords in Azure AD with Two-Factor Authentication

For some, passwords alone are not enough to ensure secure access to specific applications. In the Microsoft Virtual Academy video entitled Getting Started with Microsoft Azure Active Directory, I demonstrated how to turn on two-factor authentication with Azure Active Directory. However, what if you have applications that don’t work with two-factor authentication? The following steps will provide the guidance you’ll need to setup an application password.

  1. Go to and login
  2. Once logged in, click on profile
  3. Then click on Additional security verification
  4. Next, click on App Passwords
  5. Next, click on the create button
  6. Enter a name of the rule and click next
  7. On this page you will get a password. Use this Password for your application that cannot use two-form authentication
  8. Click close
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