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Authenticated SMTP on IIS 7.5 Issue - 501 5.7.3 Cannot decode password

I'm trying to setup an SMTP server using IIS 7.5 on server 2012 R2 and each time we try to connect to test emails we are receiving the following error.

501 5.7.3 Cannot decode password

Any thoughts on how to resolve this?

It's setup like this with the exception of configurion basic authentication on the outbound security and access authentication.

http://www.chrislazari.com/2011/04/iis-75-installing-smtp-service-securing.html
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btan

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It was the decoding piece. All set thanks.