In login process Roundcube converts password input to ISO-8859-1 which is wrong because it's not possible to use characters that are not convertable to ISO-8859-1, which of course may be confusing for users. Also user will be not able to use password set via Roundcube password plugin in other client. Another issue would be if someone uses clear text passwords in (unicode) database, postgres will not store text encoded in non-unicode encoding.
My opinion is that in Roundcube login process we should convert password to ASCII and in Password plugin we should make sure that user is using only printable ASCII characters. What do you think?