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+# Passwords Folder
+
+The `data/passwords/` folder is a crucial component of the password manager script. It serves as the directory for storing encrypted password files for each account or service.
+
+## Structure
+
+Inside the `data/passwords/` folder, you will find individual password files encrypted using the AES-256 encryption algorithm. Each password file represents a specific account or service and is named accordingly.
+
+The naming convention for password files is as follows:
+```
+<data/passwords>/<account>.passman
+```
+Here, `<data/passwords>` is the path to the folder, and `<account>` refers to the name of the account or service associated with the password file. For example, if you have an account named "example", the corresponding password file would be `data/passwords/example.passman`.
+
+## Purpose
+
+The `data/passwords/` folder acts as secure storage for encrypted passwords. Storing passwords in separate files adds an additional layer of security by compartmentalizing sensitive information.
+
+By keeping passwords encrypted in individual files, it becomes easier to manage and modify specific passwords without affecting the others.
+
+## Encryption
+
+All password files inside the `data/passwords/` folder are encrypted using the AES-256 encryption algorithm. This encryption algorithm is widely regarded as secure and ensures that passwords remain confidential.
+
+To decrypt a password, the password manager script utilizes the encryption key stored in the `data/key.passman` file. It is crucial to keep this key secure and confidential to prevent unauthorized access to password files.
+
+## Usage
+
+When using the password manager script, it automatically interacts with the password files stored in the `data/passwords/` folder based on the user's commands. The script handles encryption and decryption of passwords internally, ensuring data security and privacy.
+
+It is important to ensure the integrity and security of the `data/passwords/` folder and its contents by following security considerations such as regular backups and restricted access to these files.
+
+Please refer to the main README file for instructions on how to use the password manager script and the available command-line options.
+
+## Security Considerations
+
+The security of the `data/passwords/` folder directly impacts the confidentiality of the passwords stored within it. It is essential to keep the following considerations in mind:
+
+- Backup the `data/passwords/` folder regularly to prevent data loss in case of accidental deletion or system failure.
+
+- Restrict access to the `data/passwords/` folder to only authorized users. Regularly review and update user permissions to ensure data security.
+
+- Protect the encryption key stored in the `data/key.passman` file. Guard against unauthorized access to this file as it is essential for encryption and decryption operations.
+
+- Implement additional security measures on the system hosting the password manager script. This can include firewalls, intrusion detection systems, and regular software updates to protect against potential vulnerabilities.
+
+By adhering to good security practices, you can enhance the overall security of the `data/passwords/` folder and safeguard your passwords effectively.