Currently Being ModeratedOct 11, 2013 1:19 PM (in response to vvrusf)
Thanks for the question. The following article outlines iTunes and working with encrypted backups:
Warning: If you encrypt an iPhone backup in iTunes and then forget your password, you will not be able to restore from backup and your data will be unrecoverable. Make sure it's a password you will remember or write it down for safekeeping.
If you cannot remember the password and want to start again, you must perform a full software restore and when iTunes prompts you to select the backup from which to restore, choose set up as a new device.
As an alternative, you may want to try your user password (logon password) to see if iTunes accepts that. You can also choose to backup to iCloud: