Issue
PayPal returned API error code 10577 - A profile preference has automatically declined this transaction. To change this setting, log in to PayPal and go to the Profile page.

Cause
You have the "Only allow payments from the users with confirmed address" option set to Yes when using Direct Payment.

Solution
Here's how to resolve this error:

1. Log in to your PayPal account.
2. Select Profile > Profile and settings.
3. Click My selling tools.
4. Click Update next to Block payments. The Payment Receiving Preferences page appears.
5. Select No for "Only allow payments from the users with confirmed address."
6. Click Save.

If your Virtual Terminal payments start to fail, adjust your Payment Receiving Preferences in your PayPal account profile.

See the Developer Portal for a complete list of NVP/SOAP API error codes.