365 as External SMTP Error Sending Email: Access is Denied. Check Credentials and Try Again

Problem statement

This article will explain a potential cause when the following error is received while following the steps in Configure Microsoft 365 Exchange Online as External SMTP Email Provider at the Send a test email step.

Error sending email: Access is denied. Check credentials and try again.

Symptoms

We followed the steps in this doc:

but sending test email produced the following error:

Error sending email: Access is denied. Check credentials and try again

Solution

Ensure that the Microsoft Graph Mail.send permission is set as an Application permission and not a Delegated permission.

  • Ensure a 365 Admin grants admin consent to the application.