@Daz: his name is Stas and his email is gritsenko_stas at inbox.ru

He runs his own server/database support company. Mention ssh/pam in the subject line.

Tried restarting SSH and makes no difference now.

Found this post:
http://www.linuxquestions.org/questions ... nt-369380/

Not sure if you guys can make sense of that. It's over my head (n00b)

Thanks!

So, I found out why this happened to me and I managed to solve it.
I hope this will help out some of you out there.

1) You need to log on with the Lish console from the web interface. I tried to use Chrome for this and it gave me all sorts of problems
because for some reason I couldnt send commands like CTRL-C, Backspace or Escape or whatever .. a big problem if you mess up some commands,
or want to save a file you have edited. Which I needed to do.
2) Check the file /etc/ssh/sshd_config

Does it have the line "AllowUser [something]"?
Mine had. Mine had AllowUser gitosis.

3) Commented out that line
4) Restarted ssh with "service ssh restart".

edit: it also turned out my ISP had blocked all ssh connections out of the country. That certainly didn't help either. Had to get them to unblock the IP in addition to the solution mentioned above.

Worked.