To reset password of your psybnc follow the steps mentioned below:
Login to the shell account with SSH
kill the currently running psybnc process by typing ps -x to find the PID#
then kill -9 PID
cd psybnc
pico -w psybnc.conf and edit the following line
USER1.USER.PASS==(encrypted stuff) set unencrypted password and remove the = sign, like:
USER1.USER.PASS=mysecretpass
start your psybnc by typing ./psybnc in the psybnc directory
psybnc will encrypt the password when it starts.