Postfix Courier-Imap Outlook POP3 help

Can someone please help me with this little problem that has become a big
problem. I have postfix installed. I have courier imap installed. My pop3
service is also running. I go to conncect with outlook express. I get
this.

There was a problem logging onto your mail server. Your User Name or
Password was rejected. Server Response: '-ERR Login failed.' ...

I can send mail locally. I have the postfix web admin setup in my system
and I can send email to any user locally from that. I can also telnet to my
machine remotely on both port 25 and 110. I don't understand why the
username or password would be rejected. I use mysql and I do have the user
account created there. I have tried resetting the password in my mailbox
table. Still the same problem. How do I go about troubleshooting this?
Help.

Also I did add this line to my main.cf file.
broken_sasl_auth_clients = yes

Below is the results of my postconf -n
broken_sasl_auth_clients = yes
command_directory = /usr/local/sbin
config_directory = /usr/local/etc/postfix
daemon_directory = /usr/local/libexec/postfix
debug_peer_level = 2
mail_owner = postfix
mailq_path = /usr/local/bin/mailq
manpage_directory = /usr/local/man
mydestination = $myhostname, localhost.$mydomain, $mydomain
mydomain = DistinctOnline.com
myhostname = KillaB.DistinctOnline.com
newaliases_path = /usr/local/bin/newaliases
queue_directory = /var/spool/postfix
readme_directory = no
sample_directory = /usr/local/etc/postfix
sendmail_path = /usr/local/sbin/sendmail
setgid_group = maildrop
smtpd_recipient_restrictions = permit_mynetworks,
permit_sasl_authenticated, reject_non_fqdn_hostname,
reject_non_fqdn_sender, reject_non_fqdn_recipient,
reject_unauth_destination, reject_unauth_pipelining,
reject_invalid_hostname, reject_rbl_client opm.blitzed.org,
reject_rbl_client list.dsbl.org, reject_rbl_client
proxies.relays.monkeys.com, reject_rbl_client relays.ordb.org,
reject_rbl_client bl.spamcop.net, reject_rbl_client sbl.spamhaus.org
smtpd_sasl_auth_enable = yes
smtpd_sasl_local_domain = $myhostname
smtpd_sasl_security_options = noanonymous
unknown_local_recipient_reject_code = 450
virtual_alias_maps =
mysql:/usr/local/etc/postfix/mysql_virtual_alias_maps.cf
virtual_gid_maps = static:125
virtual_mailbox_base = /usr/local/virtual
virtual_mailbox_domains =
mysql:/usr/local/etc/postfix/mysql_virtual_domains_maps.cf
virtual_mailbox_limit = 51200000
virtual_mailbox_maps =
mysql:/usr/local/etc/postfix/mysql_virtual_mailbox_maps.cf
virtual_minimum_uid = 125
virtual_transport = virtual
virtual_uid_maps = static:125