In most cases you can resolve this by doing the following step:

1. Make sure there is no gifts.ini located in the Users profile - Go to C:\USERS\<USERNAME>\AppData\Local\VirtualStore\Windows\GIFTS.ini  (if the gifts.ini is there delete it)

2. Now, go to the C:\window\gifts.ini and open the gifts.ini in Notepad -> Under the [SQL Server] section locate:


Delete the section after PWD=.......(up to ;DSN=gifts;DATABASE=GIFTS)  -> and type in the sql server password Ex: GIFTSPWD
So, it should now look like this:

3. Change the PWDEncrupted= -1 to 0
4. Save and close -> Log back into GIFTS Alta by executing the GIFTS / Alta icon.

Also, what my cause this issue is the passwords used by Microsoft SQL Server may be case-sensitive. If the password used by GIFTS to connect to the database does not match the case of the password set up in the SQL Server Management Studio, users are prompted to log in to the database whenever they try to access GIFTS. Resolution To resolve this issue, ensure that the login information for your database specified by the SQL Server Management Studio and the login information specified for GIFTS are exactly the same. (The default login and password used for the database are GIFTSLOGIN and GIFTSPWD.) For information about setting up the database login used by GIFTS, please refer to the Global Client Server Login Options section of the GIFTS Administrator's Guide . For information about specifying database login information in the SQL Server Management Studio, please refer to your SQL Server documentation or the SQL Server installation instructions in the GIFTS Installation and Technical Reference Guide .