Create local user account without password

I'm trying to create a local user account without a password. I was able to do this on my non-XP machines, but the XP machines insist this does not meet my security settings. I can't find any local security settings with directly pertain to this issue. Anything I'm missing?
 
User Accounts: Password or No Password?

By default, a user account is created with no password. This means the user may sit down locally at the XP machine and log on without entering a password.

However, by default, Windows XP will not permit a network user to access the XP machine using an account set up without a password!

You have two options on how to proceed from here:

If you want any degree of security, assign user passwords. This will, however, require the users to log on to their client machines using a password.
Many people prefer to set up their Windows 95/98/Me machines using Windows Logon and no password, so the machine boots directly to the Windows desktop without a logon prompt. In this case, you need to make a Security Policy modification on the XP Professional machine to permit users without passwords to connect from the network.

above from here, read the whole article

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are you on a network??

can you give me the EXACT wording of the message??

do you have home, professional or MCE edition of xp?
 
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