I just had the same problem. While reviewing my setup steps, I realized that I did not assign a password to the database user.
So you might enter something like:
CREATE DATABASE scott;
GRANT SELECT, INSERT,UPDATE,DELETE,CREATE,DROP
ON scott.* TO scott@localhost
IDENTIFIED BY 'tiger';
FLUSH PRIVILEGES;
Where scott is the database user, and tiger is the database user's password.
Might not be your problem, but that was my solution when I had the same error as you.
Regards.
(this is a bugmenot forum user account by the way)