In Outlook 2013, Outlook 2010, and Office Outlook 2007 connected to Exchange Online, this problem can appear when the sign-in prompt is canceled or when the account’s Exchange security setting is not configured as expected. If you cancel the credentials prompt, you receive: “The connection to Microsoft Exchange is unavailable. Outlook must be online or connected to complete this action.”

What the prompt means

What the prompt means
A laptop displays an email-style interface with floating message icons

If you cancel the sign-in box and Outlook shows that message, Outlook cannot finish the action because it does not have a usable connection state for Microsoft Exchange at that moment.

For newer versions of Outlook, run a self-diagnostics tool instead of changing the older Exchange settings manually. Microsoft Learn

Likely causes

Start with the supported checks for this issue. The main documented cause is the Exchange logon security setting.

  1. The account needs to be rechecked in a new profile or after reconnecting if the prompt continues and the setting is not correct.
  2. For newer versions of Outlook, the issue should be handled with the built-in diagnostic path rather than the older manual setting change.

Outlook prompt decision table

Outlook prompt decision table
Microsoft Outlook inbox with an email thread and Copilot panel
Symptom pattern Likely cause Exact check to run Next step
The prompt appears after canceling sign-in Exchange connection is unavailable for the current action Confirm whether Outlook is connected and whether the prompt matches the Exchange message Use the diagnostics path for newer Outlook versions or review the Exchange settings in older Outlook
The issue continues in older Outlook Logon network security is not set to Anonymous Authentication Open the Microsoft Exchange dialog box and check the Security tab Change the setting to Anonymous Authentication
The issue is in a newer Outlook version Use the built-in diagnostic path Launch the self-diagnostics tool for the password prompt issue Apply the suggested fix from the diagnostic result

Clear saved Outlook credentials

Windows Credential Manager is a standard place to review saved sign-in entries if Outlook continues to ask for credentials. If you are troubleshooting a recurring prompt, remove any stored Outlook or Office credentials that clearly match the account, then sign in again.

  1. Close Outlook completely.
  2. Open Control Panel.
  3. Go to User Accounts > Manage your credential.
  4. Open Windows Credentials.
  5. Remove entries named Outlook, Office, or MicrosoftOffice if they match the account you are trying to use.
  6. Open Outlook again and sign in from scratch.

Is the account keeping its password?

Is the account keeping its password?
A frustrated person types at a laptop while wearing headphones

In classic Outlook, open the account settings and confirm that the sign-in options are configured normally. If the account is still prompting, review the Security tab or More Settings in the Microsoft Exchange dialog box and make sure the logon security setting is not forcing the wrong authentication mode. If the setting cannot be changed, it may be managed externally.

  1. Open Outlook and go to File > Account Settings > Account Settings.
  2. Select the account and choose Change.
  3. Open the Microsoft Exchange dialog box if it is available for the account.
  4. Check the Security tab.
  5. Set Logon network security to Anonymous Authentication if you are using an older supported version of Outlook with this issue.
  6. If the box is unavailable, move to the diagnostics path or profile check.

Fix the Outlook profile

If Outlook keeps prompting after the Exchange security setting is corrected, test the account in a fresh profile. A new profile is a standard way to separate a profile-specific problem from an account configuration problem.

  1. Exit Outlook.
  2. Open Control Panel.
  3. Open Mail.
  4. Select Show Profiles, then choose Add.
  5. Create a new Outlook profile and add the account again.
  6. Open Outlook with the new profile and see whether the prompt still appears.

If the new profile opens normally, the old profile was part of the problem.

Is this a Microsoft 365 sign-in issue?

For supported older Outlook versions that connect to Exchange Online, this issue is tied to the Exchange authentication path rather than a separate Microsoft 365 mailbox error. If the prompt continues, check the Exchange account settings in the profile you are using and then run the diagnostic tool if your Outlook version supports it.

  1. Confirm that the affected account is the one you are troubleshooting.
  2. Review the account settings in classic Outlook.
  3. Use the built-in diagnostics if you are on a newer version of Outlook.
  4. If a setting cannot be changed, the account or profile may be managed.

What to do in new Outlook and on mobile

For newer versions of Outlook, use the self-diagnostics tool rather than the older Exchange dialog path. Select Diag: Outlook keeps asking for my password to launch the diagnostic, then follow the result it returns. Microsoft Learn

  1. Open the diagnostics experience in the newer Outlook build.
  2. Review the diagnostic output.
  3. Apply the suggested fix and test Outlook again.

Still not working?

If the prompt returns after you correct the Exchange setting or run the diagnostic, reopen the account settings and verify that the logon security value is still set correctly. Then test Outlook again after reconnecting.

If you are using an older supported version, the most important check is the Exchange Security tab. If you are using a newer version, rely on the diagnostic tool and its suggested repair.

Keep reading

Frequently asked questions

Why does Outlook keep asking for password?

In the documented case, the account can keep prompting if the Microsoft Exchange logon security setting is not set to Anonymous Authentication. For newer Outlook versions, use the self-diagnostics tool instead of trying to fix it only through the old Exchange dialog.

How do I stop Outlook from asking for my password every time?

Check the Microsoft Exchange account’s Security tab and set Logon network security to Anonymous Authentication if you are using an affected older Outlook version. If you are on a newer version, run the diagnostic Diag: Outlook keeps asking for my password.

Why does new Outlook keep asking for password?

New Outlook should be handled with the self-diagnostics tool for this problem. Select Diag: Outlook keeps asking for my password and follow the automated checks and suggested solution.

How do I clear saved Outlook credentials?

Open Control Panel, go to User Accounts > Manage your credential, open Windows Credentials, and remove entries named Outlook, Office, or MicrosoftOffice if they match the affected account. Then relaunch Outlook and test again.

Should I create a new Outlook profile if password prompts continue?

If the prompt continues after you correct the Exchange setting or run the diagnostic, creating a new profile is a standard way to retest the account in a clean configuration. Use Control Panel > Mail > Show Profiles > Add to create the new profile and then open Outlook with it.