I figured it out... when changing role from pgAdmin, it has a default VALID UNTIL 1970 set and after confirming changes it just made my abc user account invalid... but upon connecting postgres complains about pass authetication, maybe the message should be changed ?
I can't change the pass for my user. When I invoke ALTER USER abc PASSWORD newpassword
it changes ok but then I can't login with my newpassword...
It says authetication failed.
My pg_hba.conf has md5 entry for the ip I connect from. It used to work ok, but I accidentaly changed the password for the user abc from pgAdmin and now I can't change it back to what it was.