> Prior to 2007 they used (a slightly flawed) RC4-128bit implementation by defautl
Not quite. The default in 2003 was to be compatible with 97/2000, although other options were available. If you chose an alternative, the default key length depended on the provider, although it was 128 bits for the stronger ones.
Office 2007 (and 2010) have, by default, weakened the encryption on 97-2003 format files, whilst offering stronger encryption (including, for the first time, proper encryption of VBA Projects) on the 2007-format ones.
None of this has anything to do with VBA passwords.
FWIW, I don't have a problem with answering the original question, as I think people should be aware of this. VBA Passwords do not offer any significant security and can be easily defeated. If all you want to do is stop ignorant users screwing up, it is good enough, but if you want to secure code, use something else.
Enjoy,
Tony
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