Login problems after update to Magento 1.8 are a common question
However, the best answer and the only one that shows the right that to solve it that I found, is in a question marked as duplicate:
Customer Cannot Login After an Update to EE 1.13.1.0 (or CE 1.8.1.0)
I voted to close a new question as duplicate of this one and not the original one. However, people who find it will probably follow the link to the first one with less-quality answers.
How to handle this? Is it possible to reopen the question and close the "original"? Or should the answer copied to the original?