Security of data communication becomes a crucial challenge due to the rapid development of computer and information technologies. To ensure security of resource transmission, engineers have proposed numerous schemes for protection. Among them, the remote password authentication schemes using smart cards are regarded as very efficient. As a result, smart-card based authentication schemes has become a popular research topic in recent years. In 2000, Hwang and Li proposed a new remote authentication scheme using smart cards based on ElGamal’s crypto-system. Unfortunately, the scheme Hwang and Li propose suffers from some security flaws. In this article, the authors propose a practical and secure version providing mutual authentication, increasing the authentication efficiency, and allowing the user to choose and change his/her password at will.