diff --git a/post-processor/vsphere/post-processor.go b/post-processor/vsphere/post-processor.go
index eede07c0d..22f1b5f10 100644
--- a/post-processor/vsphere/post-processor.go
+++ b/post-processor/vsphere/post-processor.go
@@ -193,11 +193,13 @@ func (p *PostProcessor) PostProcess(ctx context.Context, ui packer.Ui, artifact
 
 func filterLog(s string, u *url.URL) string {
 	password, passwordSet := u.User.Password()
-	if passwordSet && password != "" {
-		return strings.Replace(s, password, "<password>", -1)
+	if !passwordSet || password == "" {
+		return s
 	}
+	encodedUserPassword := strings.Split(u.User.String(), ":")
+	encodedPassword := encodedUserPassword[len(encodedUserPassword)-1]
 
-	return s
+	return strings.Replace(s, encodedPassword, "<password>", -1)
 }
 
 func (p *PostProcessor) BuildArgs(source, ovftool_uri string) ([]string, error) {
diff --git a/post-processor/vsphere/post-processor_test.go b/post-processor/vsphere/post-processor_test.go
index 8a14357d3..5cb8f707d 100644
--- a/post-processor/vsphere/post-processor_test.go
+++ b/post-processor/vsphere/post-processor_test.go
@@ -101,3 +101,30 @@ func TestGenerateURI_PasswordEscapes(t *testing.T) {
 		}
 	}
 }
+
+func TestFilterLogs(t *testing.T) {
+
+	// Password is encoded, and contains a colon
+	ovftool_uri := fmt.Sprintf("vi://hostname/Datacenter/host/cluster")
+
+	u, _ := url.Parse(ovftool_uri)
+	u.User = url.UserPassword("us:ername", "P@ssW:rd")
+
+	logstring := "vi://us%3Aername:P%40ssW%3Ard@hostname/Datacenter/host/cluster"
+	outstring := filterLog(logstring, u)
+	expected := "vi://us%3Aername:<password>@hostname/Datacenter/host/cluster"
+	if outstring != expected {
+		t.Fatalf("Should have successfully filtered encoded password. Expected: %s; recieved: %s", expected, outstring)
+	}
+
+	// There is no password
+	u.User = url.UserPassword("us:ername", "")
+
+	logstring = "vi://us%3Aername:@hostname/Datacenter/host/cluster"
+	outstring = filterLog(logstring, u)
+	expected = "vi://us%3Aername:@hostname/Datacenter/host/cluster"
+	if outstring != expected {
+		t.Fatalf("Should have ignored password filtering since it was not set. Expected: %s; recieved: %s", expected, outstring)
+	}
+
+}