When registering at a site the other day, one of their password requirements was that it couldn't contain any special characters, such as ' " = : ; < > ( )
While this alone doesn't indicate they don't hash their passwords, is it a strong indicator? If the password is hashed, these special characters will be translated into something else, and any harmful SQL will be turned into random characters. By virtue of the fact that they don't allow those characters, does it mean the password will be put into the database without being hashed?
I also registered on another site that appeared to have tight security and had good customer reviews. However, once I completed registration and got their welcome email, it included my password in plain text, which was an unpleasant surprise.
No one advertises their poor security, but what are some warning signs that your password may not be encrypted? Typically, you don't know how poor a site's security is until there is a break-in or massive data theft, and the average person on the site can't tell what is going on with their data.
Someone should create a site where you can highlight sites with poor security to steer customers away or shame the sites into changing their policies. I understand you have to have some trust in third party sites, but what are some warning flags that should turn you off of a site?