I should’ve said this, but I meant that with a database breach, someone gets a password hash table of the users, then uses brute forcing to generate hashes of known passwords. Inevitably they get a few accounts from people who don’t use passwords properly. And if you use variants of old passwords then it’s possible to test out any variant of your old password (if the real password has been breached before) against the known hash. With more computational power available you can test more variants.
I didn’t mean it like someone logs in your account without anything, yes they often lock your account or put you in timeout after a few failed attempts.
If they were in use in finance they probably would cut down on phishing. It actually is quite un-phishable. There’s basically no way to make a fake login page and pass through a passkey to steal someone’s bank information, while a password is easily phishable. Using passkeys, without the public key on the backend and TLS from the browser to the server it basically won’t work. But it does push off the point of attack to the iCloud account, or to try to get the user to disable passkeys and use passwords on their account. I think in either case it becomes obvious someone is stealing your account, in iCloud with 2-factor you just don’t allow the request.
Anyways, you are of course free to use passwords if you would like. That said, my guess is many sites will require at least 2-factor with passwords or passkeys, so your whole “I can login anywhere without having my phone” is getting unlikely. If you don’t like this, you will have to just not use the site, I guess. Going back to paper-only banking?