This only affects VPS’s due to mishandling of adding passwords for new users when the VPS environment does not seem to configure pam to support MD5 password hashes.

SSH to VPS and do the following:

pico /etc/pam.d/system-auth

find this line:

password sufficient /lib/security/$ISA/pam_unix.so nullok use_authtok

add “md5 shadow” to the end of it, so that it looks like this

password sufficient /lib/security/$ISA/pam_unix.so nullok use_authtok md5 shadow

ctrl+x, save and tell client to recreate the users that can’t login in cPanel.
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