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I am trying to store a users log in and password after they enter it at encryption so that when they go to log on to our terminal server they do not have to enter a user name and password. It would be entered in via LDAP.

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Do you mean that you're trying to read the user's password via LDAP, or you're trying to create a secondary LDAP directory that has copies of users' passwords? Can you elaborate on your goals? –  Shane Madden Oct 18 '12 at 22:29
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Can't the terminal server can be set to use LDAP authentication? –  mdpc Oct 18 '12 at 22:30
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I'm having a lot of trouble parsing your question. Explaining a bit more about what you're trying to accomplish would be helpful.

I assume when you say "terminal server" you're talking about a Windows Server offering Remote Desktop services. If that's the case, why not use the built-in single-sign-on functionality in Windows-- that is, joining the server computer to an Active Directory (AD) domain.

I can tell you that a stock AD deployment doesn't store any plaintext passwords. You can't query stored password hashes from AD via LDAP, either. Storing plaintext passwords in AD (known as "reversible encryption" by Microsoft) is a bad idea from a security perspective.

In general, you really shouldn't be writing software that's storing users credentials, either. If you need single-sign-on functionality you should be looking at using something like Kerberos or a federated authentication mechanism like SAML.

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If you install the Services for Unix feature and enable all the password filter bits, then you can get Windows to store a password hash like you would get from crypt() has using md5 or des3. I do wish MS had added support for the sha*() family of hashes also. –  Zoredache Oct 18 '12 at 23:09
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This. A thousand times, this. –  gWaldo Oct 18 '12 at 23:13
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