AD - Group Policy - passwords

I work with  AD and GPO a bit but am totally confused by passwords. It's just that the sttings to control passwords are in the 'Computer configuration' section and to me it should be associated with ;User Configuration'.
I've also read that paqssword settings configured at domain level can NOT be overwritten at OU level.... again this confuses me because surely if I block policy inherintance at OU  and  put on Enforce (or No override as it was called) at OU the my new password settings should be applied ??

I'm just looking for an overview of how passowrds in ADS and GPO work
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Basically all your AD users are held in AD, thus only the final policy affecting the DC's win. Trying to force different DC's to diffent policy not a good idea either.

Really does not matter where the users reside in the OU structure. You can affect the local systems policy to be different on workstations, but still does not affect domain users.
lkavAuthor Commented:
below is a mail I mail I came across that explains my problem perfectly ... unfortunately the guy never got an answer ... can anyone help us ?

I need a bit of clarification on the way our AD password policy is being implemented. Everything I've ever read on the
subject seems to tell me that what we're currently doing shouldn't work, yet it has been working for us flawlessly for over 2
years. I am getting ready to upgrade our domain to 2003 Server, and I really need to solidify my understanding of our current configuration. Here's a quick rundown of our environment:

-We are currently running a single Win2K domain.
-Our default domain policy contains a fairly strong password policy that specifies a max password age of 90 days, minimum age of 10 days, minimum length of 6 characters, and complexity requirements are enabled. This policy works fine across the
-We have an OU set up to contain all of our domain service user accounts(no computers reside in this OU). We can't have our service account passwords expiring, so when I created the OU, I blocked the default domain policy inheritance and created a new GPO that is linked only to this OU. The password policy is the same as the default domain policy with the exception of the max password age, which is infinite.
-These service accounts are primarily used to log on our many SQL servers' SQL services. The computer accounts for all of
these servers reside either in the default Computers container, or in a separate OU that contains our critical production
servers(which is blocking domain policy inheritance and has it's own GPO with a strong password policy).

Now everything I've read tells me that password policies can only be applied at the domain level. If this is the case, why is
my service account password policy working? It has been applied only to the Service Account OU.

The other thing I have always been a bit confused by (and have never found a straight answer from MS), is that the password policy is part of the GPO's Computer Configuration settings. Given this fact, I have two related questions:

A: How is it that these Service Accounts (that have an infinite max password age specified in the GPO) don't have their
passwords expire when they're logged into a server that has the default domain policy applied to it, that has a 90 day max
password age?
B: Why does the Service Account password policy work in the first place, given that it's part of the GPO's computer
configuration and not the User configuration(remember the Service Accounts OU contains only user accounts)?

I apologize for being so long win...
MS courses 2278 and 2279 do a good job of explaining passwords, and GPO's.

Briefly, passwords are considered a "security" setting those types of settings are only allowed in the Default Domain Policy. It affects all users regardless where their accounts sit in the AD structure.

The reason that it is set in the computer section and not the user section, is because the DC, where passwords are checked, is a computer, and not a user.

Service accounts are a bit different... here is a link to a security article on the MS site, hopefully this can help some too.

Good Luck,


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