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I wanted to change from winRAR to an open source alternative and 7-zip seemed to be exactly what I needed but this thing with password protection dissapearing after an file update makes it utterly useless for me. It's back to winRAR for me.
The POWER of WinRAR!!!
Time and time again WinRAR proves to be the finest archiver available today.
Why do you use 7-zip for encrypting a password file? This progam isn't really suited for the job. A much better program for storing passwords is Keepass Password Keeper, which is also a sourceforge project.