Users unable to change passwords

We have just started evaluating ADSelfService and are running into an issue where test users that have registered are unable to change their password under the Self Service tab. It lists "Domain Password Policy requirements" (which our test domain has NONE) I have also set the password strength level within the ADSelfService app to "Too short" yet still, no matter what password we change it always fails with this error:

Change Password Failed

The new password you chose failed to meet any or all of the standards set by your administrator (as given below):

1. Minimum Password Length: You maybe required to choose a longer password.

2. Password Complexity: Maybe your password should be a combination of alphabets and numerals.

3. Password History: You cannot repeat your previous password(s).

4. Minimum Password Age: If this is set, you cannot change password for a specified time.

We are running the demo of latest version (4521)