diff --git a/application/src/main/java/org/thingsboard/server/exception/ThingsboardCredentialsViolationResponse.java b/application/src/main/java/org/thingsboard/server/exception/ThingsboardCredentialsViolationResponse.java
new file mode 100644
index 0000000000..421ca04a34
--- /dev/null
+++ b/application/src/main/java/org/thingsboard/server/exception/ThingsboardCredentialsViolationResponse.java
@@ -0,0 +1,33 @@
+/**
+ * Copyright © 2016-2023 The Thingsboard Authors
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.thingsboard.server.exception;
+
+import io.swagger.annotations.ApiModel;
+import org.springframework.http.HttpStatus;
+import org.thingsboard.server.common.data.exception.ThingsboardErrorCode;
+
+@ApiModel
+public class ThingsboardCredentialsViolationResponse extends ThingsboardErrorResponse {
+
+    protected ThingsboardCredentialsViolationResponse(String message) {
+        super(message, ThingsboardErrorCode.PASSWORD_VIOLATION, HttpStatus.UNAUTHORIZED);
+    }
+
+    public static ThingsboardCredentialsViolationResponse of(final String message) {
+        return new ThingsboardCredentialsViolationResponse(message);
+    }
+
+}
diff --git a/application/src/main/java/org/thingsboard/server/exception/ThingsboardErrorResponseHandler.java b/application/src/main/java/org/thingsboard/server/exception/ThingsboardErrorResponseHandler.java
index e05fbe9e43..fbb2f1d8e2 100644
--- a/application/src/main/java/org/thingsboard/server/exception/ThingsboardErrorResponseHandler.java
+++ b/application/src/main/java/org/thingsboard/server/exception/ThingsboardErrorResponseHandler.java
@@ -41,6 +41,7 @@ import org.thingsboard.server.common.msg.tools.TbRateLimitsException;
 import org.thingsboard.server.service.security.exception.AuthMethodNotSupportedException;
 import org.thingsboard.server.service.security.exception.JwtExpiredTokenException;
 import org.thingsboard.server.service.security.exception.UserPasswordExpiredException;
+import org.thingsboard.server.service.security.exception.UserPasswordNotValidException;
 
 import javax.servlet.ServletException;
 import javax.servlet.http.HttpServletRequest;
@@ -178,8 +179,7 @@ public class ThingsboardErrorResponseHandler extends ResponseEntityExceptionHand
     private void handleAuthenticationException(AuthenticationException authenticationException, HttpServletResponse response) throws IOException {
         response.setStatus(HttpStatus.UNAUTHORIZED.value());
         if (authenticationException instanceof BadCredentialsException || authenticationException instanceof UsernameNotFoundException) {
-            String message = (authenticationException.getMessage() == null || authenticationException.getMessage().isEmpty()) ? "Invalid username or password" : authenticationException.getMessage();
-            JacksonUtil.writeValue(response.getWriter(), ThingsboardErrorResponse.of(message, ThingsboardErrorCode.AUTHENTICATION, HttpStatus.UNAUTHORIZED));
+            JacksonUtil.writeValue(response.getWriter(), ThingsboardErrorResponse.of("Invalid username or password", ThingsboardErrorCode.AUTHENTICATION, HttpStatus.UNAUTHORIZED));
         } else if (authenticationException instanceof DisabledException) {
             JacksonUtil.writeValue(response.getWriter(), ThingsboardErrorResponse.of("User account is not active", ThingsboardErrorCode.AUTHENTICATION, HttpStatus.UNAUTHORIZED));
         } else if (authenticationException instanceof LockedException) {
@@ -192,6 +192,9 @@ public class ThingsboardErrorResponseHandler extends ResponseEntityExceptionHand
             UserPasswordExpiredException expiredException = (UserPasswordExpiredException) authenticationException;
             String resetToken = expiredException.getResetToken();
             JacksonUtil.writeValue(response.getWriter(), ThingsboardCredentialsExpiredResponse.of(expiredException.getMessage(), resetToken));
+        } else if (authenticationException instanceof UserPasswordNotValidException) {
+            UserPasswordNotValidException expiredException = (UserPasswordNotValidException) authenticationException;
+            JacksonUtil.writeValue(response.getWriter(), ThingsboardCredentialsViolationResponse.of(expiredException.getMessage()));
         } else {
             JacksonUtil.writeValue(response.getWriter(), ThingsboardErrorResponse.of("Authentication failed", ThingsboardErrorCode.AUTHENTICATION, HttpStatus.UNAUTHORIZED));
         }
diff --git a/application/src/main/java/org/thingsboard/server/service/security/exception/UserPasswordNotValidException.java b/application/src/main/java/org/thingsboard/server/service/security/exception/UserPasswordNotValidException.java
new file mode 100644
index 0000000000..7cd01be7d5
--- /dev/null
+++ b/application/src/main/java/org/thingsboard/server/service/security/exception/UserPasswordNotValidException.java
@@ -0,0 +1,26 @@
+/**
+ * Copyright © 2016-2023 The Thingsboard Authors
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.thingsboard.server.service.security.exception;
+
+import org.springframework.security.core.AuthenticationException;
+
+public class UserPasswordNotValidException extends AuthenticationException {
+
+    public UserPasswordNotValidException(String msg) {
+        super(msg);
+    }
+
+}
diff --git a/application/src/main/java/org/thingsboard/server/service/security/system/DefaultSystemSecurityService.java b/application/src/main/java/org/thingsboard/server/service/security/system/DefaultSystemSecurityService.java
index 3e2f6e9018..5dacefc924 100644
--- a/application/src/main/java/org/thingsboard/server/service/security/system/DefaultSystemSecurityService.java
+++ b/application/src/main/java/org/thingsboard/server/service/security/system/DefaultSystemSecurityService.java
@@ -57,6 +57,7 @@ import org.thingsboard.server.dao.user.UserService;
 import org.thingsboard.server.dao.user.UserServiceImpl;
 import org.thingsboard.server.service.security.auth.rest.RestAuthenticationDetails;
 import org.thingsboard.server.service.security.exception.UserPasswordExpiredException;
+import org.thingsboard.server.service.security.exception.UserPasswordNotValidException;
 import org.thingsboard.server.service.security.model.SecurityUser;
 import org.thingsboard.server.utils.MiscUtils;
 import ua_parser.Client;
@@ -135,11 +136,12 @@ public class DefaultSystemSecurityService implements SystemSecurityService {
         SecuritySettings securitySettings = self.getSecuritySettings(tenantId);
         UserPasswordPolicy passwordPolicy = securitySettings.getPasswordPolicy();
 
-        if (Boolean.TRUE.equals(passwordPolicy.getForceUserToResetPasswordIfNotValid())) {
+        if (!tenantId.isSysTenantId() && Boolean.TRUE.equals(passwordPolicy.getForceUserToResetPasswordIfNotValid())) {
             try {
                 validatePasswordByPolicy(password, passwordPolicy);
             } catch (DataValidationException e) {
-                throw new BadCredentialsException("The entered password violates our policies. If this is your real password, please reset it.");
+                throw new UserPasswordNotValidException("The entered password violates our policies. If this is your real password, please reset it.");
+
             }
         }
         if (!encoder.matches(password, userCredentials.getPassword())) {
@@ -150,7 +152,7 @@ public class DefaultSystemSecurityService implements SystemSecurityService {
                     throw new LockedException("Authentication Failed. Username was locked due to security policy.");
                 }
             }
-            throw new BadCredentialsException("Invalid username or Password.");
+            throw new BadCredentialsException("Authentication Failed. Username or Password not valid.");
         }
 
         if (!userCredentials.isEnabled()) {
diff --git a/common/data/src/main/java/org/thingsboard/server/common/data/exception/ThingsboardErrorCode.java b/common/data/src/main/java/org/thingsboard/server/common/data/exception/ThingsboardErrorCode.java
index 00ffd655dc..1ab0e3e634 100644
--- a/common/data/src/main/java/org/thingsboard/server/common/data/exception/ThingsboardErrorCode.java
+++ b/common/data/src/main/java/org/thingsboard/server/common/data/exception/ThingsboardErrorCode.java
@@ -29,7 +29,8 @@ public enum ThingsboardErrorCode {
     ITEM_NOT_FOUND(32),
     TOO_MANY_REQUESTS(33),
     TOO_MANY_UPDATES(34),
-    SUBSCRIPTION_VIOLATION(40);
+    SUBSCRIPTION_VIOLATION(40),
+    PASSWORD_VIOLATION(45);
 
     private int errorCode;