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Thanks to a tipper on the MacRumors forums, we now know how to access the rest of your iPhone even when locked with a password.

The hack requires that you have iPhone 2.0.2 installed, and have at least one favorite in your contacts list.

Here are the details from the MacRumors forum.

Steps to Reproduce

Set iPhone to use passcode lock, have contacts marked as Favorites with links, phone numbers, addresses, etc in address book entry.

Tap “Emergency Call” keypad from passcode entry screen.

Double-tap home button.

Tap blue arrow next to contact’s name. You now have full access to applications such as Safari, complete Contacts list, SMS, Maps, “full” Phone access, and Mail by accessing various entries on the Favorite’s page, i.e. tapping their home page brings up a full, unrestricted Safari.

It should be noted that this doesn’t work if you don’t have any favorites, or have your home button’s double tap feature set to something else like the pop-up iPod controls. Apple is likely to patch this up tight in the next software update. But until then, I guess if anyone steals my iPhone, they’re going to find out that I like Amy Winehouse.  Uh oh.

[Update]

MacWorld has some more info on this security hole straight from Apple.

“The minor iPhone security issue which surfaced this week is fixed in a software update which will be released in September,” Apple representative, Jennifer Bowcock, said in an email to Macworld.

But until September, you can set your iPhone’s double tap preference to be the home screen if this issue has you worried. That way, the iPhone will remain locked if password protection is on since the home screen is still disabled.

Via [MacRumors Forum and MacWorld]