User Log Ins only work ONCE

I have am using the Registered Users Only Plug in By Viper007Bond.

Both myself (admin) and users can use their log in only once and then have to click on the Lost Password link in order to log in again. I have tried clearing the cache, disabling numerous other plugins, etc. and cannot rectify this situation.

All I want is a locked blog that people have to register for and be APPROVED to read. I want to be able to see who is logging in and from where. I want email notifications to be sent out when I make a blog post. And I want people to be directed immediately to the blog and not their profile page upon logging in.

Is there a better way to go about doing this, other than the plugins I have used? Something obviously isn’t working, since users have to constantly request a lost password.

I greatly appreciate any help!

Here is a list of plugins I currently have installed.

Akismet (inactive)
Blogger Importer (inactive)
Log User Access (ACTIVE)
New User Approve (ACTIVE)
Peter’s Login Redirect (ACTIVE)
Registered Users Only (ACTIVE)
Subscribe2 (ACTIVE)
Subscribe2 Counter Widget (inactive)
Visitor Maps and Who’s Online (ACTIVE)
WassUp (inactive)
WP Hide Dashboard (ACTIVE)
WP Super Cache (inactive)

My blog is located at https://www.dontlicktheferrets.com (but is a locked blog)