If, for example, there is a security breach at my bank, then will a password manager - such as Bitwarden - keep the bad guys from getting into my account and stealing my money? (by the way, any company can be used for this example and not just banks).
If the company in question is storing passwords correctly, i.e. salted and hashed with strong encryption, then a data breach shouldn’t reveal your login credentials. However, if they were storing passwords in plain text or using a simple hashing function, then a malicious actor could indeed gain access to your account.
There’s nothing that Bitwarden can do to stop this. Where Bitwarden is useful is remembering lots of strong passwords that would be extremely difficult to remember otherwise. This means you can use different, unique, strong passwords on all the sites you use. If any one of them were to be breached and an attacker got hold of your credentials for that site, then because you use Bitwarden and don’t reuse passwords on different sites, the risk for you is limited to just that breached site. If you were using the same or similar passwords everywhere then a breach on one site could very quickly lead to a lot of your accounts being compromised.
danmullen, thanks for the explanation.