activemerchant paypal configuration in ruby

Question

I just wanted to test my paypal sandbox payment gateway in a simple way. Unfortunately I'm getting the following error message:

"This transaction cannot be processed due to an invalid merchant configuration."

This is my testfile. It's from an railscasts Episode:

require "rubygems"
require "active_merchant"

ActiveMerchant::Billing::Base.mode = :test

gateway = ActiveMerchant::Billing::PaypalGateway.new(
  login: "bla-facilitator_api1.gmail.com",
  password: "13234229172",
  signature: "AFcWxY21C7fd0v3bYYYRCOSSrl31AsqKs2TwM-RkGcerk8QatsKAkfJt"
)

credit_card = ActiveMerchant::Billing::CreditCard.new(
  brand:                 "visa",
  number:               "4111111111111111",
  verification_value:   "123",
  month:                1,
  year:                 2014,
  first_name:           "Ryan",
  last_name:            "Bates"

)

if credit_card.valid?
  response = gateway.purchase(1000, credit_card, ip: "127.0.0.1",
    :billing_address => {
            :name     => "Ryan Bates",
            :address1 => "123 Main St.",
            :city     => "New York",
            :state    => "NY",
            :country  => "US",
            :zip      => "10001"
    }
  )
  if response.success?
    puts "Purchase complete!"
  else
    puts "Error: #{response.message}"
  end
else
  puts "Error: credit card is not valid. #{credit_card.errors.full_messages.join('. ')}"
end

Answer 1

That error means you don't have Payments Pro active on the account you're trying to process with, or you haven't accepted the billing agreement for it after turning it on.