Recently third-party apps and programs used to access Hotmail, Outlook, MSN or other Microsoft email services, have had connection issues, Users being unable to access their mail, often with the following message popping up on-screen;
[account] requires a password update.
It appears this is the result of (an unannounced) service update to Microsoft’s email and other communication provisions towards moving everything over to Outlook.com and Office365.com. As a result all the older service credentials no longer seem valid.
The only fix for this that seems to work is to delete the third-party in-app or in-program user-account for the incoming/outgoing mail service and recreate it using the information needed to access Outlook.com/Office365.com. These details are here “POP, IMAP, and SMTP settings for Outlook.com“.
To be clear, you are only deleting the local ‘user’ account stored on your mobile device or computer, not your actual Microsoft account. DO NOT delete your actual Microsoft account (this can only be done online).
Once done the service may take some time to re-sync between Microsoft and app/program. Some account properties may need to be reconfigured.