Is it any safer to create a table holding user information and another one for their passwords than using the same table for everything?
No I would just do this:
id, username, password.
Where id is just autoincrement, username is a varchar of 20 (or so, depending on your needs) and password is an MD5 or SHA1 hashed password with a salt.
Using two tables for this just doesn't make sense. Then you need to work with joins to get the data. And that's just an unnecessary burden.
No, I cannot see how that can make it safer.
You should actually refrain from storing passwords at all. Just store their salted hash.
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