I encountered the bug too after I performed an system update this
morning (15. October) via update-manager.

Your other questions:

1, No, actual and new passwords differed, I was careful enough to
perform the correct steps that should have led to successful password
change.

2, The hanging behaviour is password-independent and happens always - it
means it's perfectly reproducible. It effectively means it is not
possible to change the password in a GUI way.

3, It does occur only if I try to change my own password, not other
users.

4, 'passwd' succeeded in changing my password without any trouble.

What additional input is needed to change the bug's status from
'incomplete' to 'assigned' ?

-- 
changing user password causes hang in users-admin
https://bugs.launchpad.net/bugs/661272
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