You are changing it in the correct place so that's the good news.  Figuring out why you can't authenticate is the challenge.  If the only thing you changed is the password then I would think there is an incorrect password entered.  Do you have web access to your e-mail?  If so, can you access your email that way with your new password?  If you can then I would once again check the password entered in Pegasus.

I believe that if you turn on session logging and then attempt a connection the resulting log file will contain in plain text the authentication credentials used during that connection attempt.  Session logging can be enabled on the General tab Tools | Internet Options.  Read the help file for details on how session logging works and how the log file(s) are saved.  Don't forget to disable session logging when done troubleshooting.

Hello,

my e-mail provider asked me to change my password because it was too short. I changed it and then wanted to chnage it on Pegasus so that pegasus would be able to pick up my mail. But it won't change in Pegasus. I looked in the following location Tools>Internet options>Receiving>Edit, entered the new password and clicked on "OK". But when I exit Pegasus and start it again I get the message "0028 -ERR authentication failed". Can anyone help? Thanks!

Barbara