Setting up an IPsec connection on Windows XP using Shared Secrets
1. Click the Start button, move the pointer to Settings, then click on Control Panel.
2. If you are using the default Windows XP view, click Network and Internet Connections, then click Network Connections.
3. If you are using the Classic view, click Network Connections.
4. Click Create a new connection.
5. Click Next.
6. Select "Connect to the network at my workplace"
7. Click Next.
8. Select "Virtual Private Network connection"
9. Click Next.
10. Name the connection.
11. Click Next.
12. If you want Windows to dial your Internet connection for you when you request to connect to this VPN, select "Automatically dial this initial connection" and select your Internet connection from the list. Otherwise, select "Do not dial the initial connection"
13. Click Next.
14. Enter the IP address of the VPN server (206.207.108.253)
15. Click Next.
16. Click Finish.
17. Click the Properties button.
18. Select the Security tab and enable "Advanced (custom settings)" and push the Settings button.
19. Select "Optional encryption"
20. In "Allow Protocols" select "Challenge Handshake Authentication Protocol (CHAP)", "Microsoft CHAP", and "Microsoft CHAP Version 2 (MS-CHAP v2)".
21. Click OK.
22. Click the "IPSec Settings" button.
23. Check the box next to "Use pre-shared key for authentication" and enter the shared secret you entered previously in the box provided.
24. Click OK.
25. Select the "Networking" tab.
26. Under "VPN Type", select "L2TP IPSec VPN"
27. Click OK.
28. Enter your username (tim@tim.com) and password.
29. Click Connect.
30. If the connection fails with the error of "Loopback detected." continue to click "Redial" until the connection is properly established. This behavior is due to a bug in Windows XP.