I chatted with Microsoft support. For what it is worth, here are some excerpts:
Microsoft’s November Patch Tuesday addressed 63 security flaws, including one actively exploited zero-day vulnerability in the Windows Kernel (CVE-2025-62215). This flaw had a CVSS score of 7.0, indicating a high level of concern due to its potential for privilege escalation. Although Microsoft released a fix, users continue to report problems, suggesting that the patch may not have fully resolved all related issues.
Zero-day vulnerability: The bug allowed attackers to gain system privileges by exploiting a race condition in the Windows Kernel.
Patch released: Microsoft issued a fix on November 11, 2025, but some users say the update caused instability or didn’t fully mitigate the issue.
Some users, especially with Hotmail or Outlook accounts, are caught in a loop where the system falsely flags their login attempts as incorrect—even when the password is newly reset and correct.
After April 2025 updates, Windows users began experiencing recurring “incorrect password” messages due to changes in how credentials are validated.
Yes, with the recent patch fixed has been included hence other user are still experiencing the same issue could be that there system are not yet updated or haven't refresh the system for some reason. Hence, I will have this reported here in my end as well just to make sure.
No worries, we'll make sure to have this raised to be heard and have this set on the next update.