I'm running win 98 first edition on a Gateway PII 350 with 64mb. Got the windows password request at logon. What is unusual is that none of the fixes offered by experts in the past -- I have browsed past answers, seem to work. I have deleted all .pwl files. They reappear after the next bootup. I don't enter a password and click Ok, back it comes next time (same with cancel or enter). I am on windows logon. I have no passwords in my folder, I have ticked enable all users etc etc. I tried editing the register and changing the logon script value to 0000 01 and all that did was give an extra logon request, this time from windows networking. I have Tweakui installed and tried their paranoia column, clicking in clear last user at log on box.
I used to have this problem a year ago and solved it somehow. I recently reinstalled win 98 and have the problem back. I can't remember what I did but is it possible it had something to do with Netscape user profile?