How to version control config files pragmatically?

Question

Suppose we have a config file with sensitive passwords. I\'d like to version control the whole project, including the config file as well, but I don\'t want to share my pass

Answer 1

In my projects I use a directory that holds these kinds of files but it's not uploaded to server, so my db config file is in that directory and it is configured for server where the project is placed. If someone changes config file he will change server config file and anyone updating revision will see changes in that file and will need to manually change his local config.

I don't see a way of doing it rather than that. If you find a different approach please share.