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Is there any actual services that check if the password is already in use?
I've heard that some really obscure website even told you who used that exact password, because the CEO of the company owning said website complained for not having it, then the IT company who made the website had to add it. (If you ask: it was some Hungarian-owned website, and not space Karen's 1000IQ idea)
There are definitely services that fuss if you use a password you've used before.
-Try to log in, password incorrect.
-Try to log in, password incorrect.
-Try to log in, password incorrect.
-Weird, ok reset password.
-"Enter new password." Enter the password I've been typing the whole time. "Sorry, you can't use your old password."
-DAMMIT!
I'm pretty convinced this happens because their password validation isn't responding quickly enough and it defaults to "password incorrect."