Hello varuna,
Can you please check on Edit > Preferences > Security if the box 'Remember
password for sites' is checked and if the sites you are accessing are not in
the Exceptions list?
You can also manually remove old passwords with the 'Saved passwords' button.
Please tell me if this solves your issues or if the bug persists.
Thanks.
** Changed in: firefox (Ubuntu)
Status: New => Incomplete
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https://bugs.launchpad.net/bugs/807586
Title:
Firefox 5.0 Doesn't prompt to Update or Save my Email Password
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