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pwd storing and using in dbs

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How to store pass words in database and use them, when required for authenticating? I mean the pwd should be masked or encrypted in a table column and when app like SSIS needs it, it should be able to pick up from the table and validate it.

What is the general mechanism used in such case.  

I am storing all the configurable information in db table for ETL frame work database. I am aware of encryption and decryption 

encryptbykey(key_guid).. and decryptbykey functions, which can be used. But is there any better mechanism which is generally used.

 

Neil



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