Parsing structured data files is one of those things you end up writing constantly in shell. I spent years reaching for awk or fiddling with cut options before landing on something far simpler, built right into how the shell reads data.

If you want to parse a colon-delimited file like /etc/passwd, all you need is: 

IFS=':'

IFS is the Internal Field Separator. Set it to your delimiter and word splitting does the rest.

In Practice

line='nobody:foo:-2:-2:Unprivileged User:/var/empty:/usr/bin/false'
IFS=":"
array=($line)

echo "username: ${array[0]}"
echo "uid:      ${array[2]}"
echo "home:     ${array[5]}"
echo "shell:    ${array[6]}"

Note the single quotes around $line. Double quotes would let the shell expand the * wildcard to filenames in the current directory.

Here's a complete script you can invoke as script.sh < /etc/passwd: 

#!/bin/bash

while read line
do
  # skip comment lines
  [[ ${line} == \#* ]] && continue

  set -f  # disable globbing so '*' isn't expanded to filenames

  IFS=':'
  array=(${line})

  username="${array[0]}"
  uid="${array[2]}"
  gid="${array[3]}"
  info="${array[4]}"
  home="${array[5]}"
  shell="${array[6]}"

  echo "$username  uid=$uid  home=$home  shell=$shell"

  set +f  # re-enable globbing
done

Other Useful Array Tricks

Iterate over elements:

for element in "${array[@]}"; do echo "$element"; done

Iterate with index:

for index in "${!array[@]}"; do echo "$index ${array[index]}"; done

Count elements:

echo "${#array[@]}"

Here Be Dragons

Shell arrays have no safety wires. You can unset individual elements or insert at arbitrary indices, which means the array you're working with may be sparse: 

unset "array[5]"    # remove element 5
array[9]="ha ha"    # insert at index 9, skipping 7 and 8

So this will silently give you the wrong answer:

# breaks on sparse arrays
count=${#array[@]}
last_index=`expr $count - 1`
echo "${array[$last_index]}"

Use this instead:

# Bash 2.05b+
echo "${array[@]: -1:1}"

# Bash 4.2+
echo "${array[-1]}"

Shell arrays: powerful, footgun-adjacent.