Just noticed that android:password has been deprecated, and we should be using android:inputType. Was experimenting with it by setting in my xml
Just stumbled on the answer. android:inputType="textPassword" does work with android:hint, same as android:password. The only difference is when I use android:gravity="center", the hint will not show if I'm using android:inputType. Case closed!
android:inputType="textPassword"
android:hint
android:password
android:gravity="center"
android:inputType