I am having an issue with both Live and Hotmail accounts.  I login to either account, and when I do this login, both Live and Hotmail recognize the username (email address) and associated password.  If I try to make a change, it prompts me to LOGIN (I just did that), but then when I type in my password, it tells me that the password is not correct or that it doesn't recognize the password.  I know I am typing it correctly, as I JUST did it to login originally...but on the verification, it is not.  NOT a problem, I say I forgot the password, enter the password, and both LIVE and HOTMAIL report that it is the same password already in use.  Change the password to something different.  Completely log out of LIVE or HOTMAIL, and restart the process; login and go to change a setting...prompted to input the password and then I am back to square ONE, password is incorrect or not recognized. 

Using Windows 10, but same issue when I log in with my laptop using Windows 7 Ultimate; and two different versions of Internet Explorer, Chrome and Firefox.

So the password is good enough to get me in, but then it is WRONG when I need to enter it a second time to change account information.  That makes ZERO sense to me, but then nowadays, not a lot being done within MS makes sense.