Am i missing something?

[Ikisis]

Every server tells me "Incorrect Password" when i try to connect to them.
I thought the servers weren't password locked but it wont let me past choosing a name.

[Wordless Truth]

Arelith servers are only passworded when they're stabilising after resets.

Is it possible you're using the DM client?

[Ikisis]

Maybe I am? I'm booting off the steam install of EE I got last night.

[Wordless Truth]

I'm on the road right now so I can't check the exact wording, but if you boot NWN from Steam you should get three options:

-start player client
-start dm client
-start toolset

Make sure you're using the player client.