Make sure you are using an account that you created through your mail manager section of your control panel, not the default name for the account.

Make sure your email program is setup as follows:

Server: mail.yourdomain.com
Login: account%yourdomain.com
Pass: password

(Remember: Use '%' instead of '@')
Example:
test@yourdomain.com <- incorrect
test%yourdomain.com <- CORRECT
(The '%' syntax only applies to Netscape/Eudora)

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