vsftpd - error 530 Login incorrect

["b.Rashid" <panic nd15 net>]

Hai,

Just install vsftpd (vsftpd 1.2.1-5). i edited the vsftpd.conf as follows

anonymous_enable=NO
local_enable=YES
listen=YES

but when i try to login locally/remotely i get the following:-

Connected to localhost (127.0.0.1).
220 Welcome to our ftp service.
Name (localhost:ftpuser): ftpuser
331 Please specify the password.
Password:
530 Login incorrect.
Login failed.
ftp> exit
221 Goodbye.

Connected to sparky (192.168.1.1).
220 Welcome to our ftp service.
Name (sparky:ftpuser): ftpuser
331 Please specify the password.
Password:
530 Login incorrect.
Login failed.
ftp> exit
221 Goodbye.

the password are correct. i dont have anyfirewalls running on that 
server since its a test server on the localnet. Is there anyother 
configuration that i missed out.

thanks