Hi. Same error here, I also got:
Send with CURL method failed ! Error:
Connect failed with fsockopen method
Paypal has been working fine for months, until overnight last night when the error started. I uninstalled and deleted the module, installed the latest version, got new API credentials from Paypal, but still got the same error.
My web host says "I am not able to detect any issues with the server configuration at all.
From the provided logs I can see that the curl connection is going successfully however sending the data fails for some reasons."
And asked me to contact the module's developer! Not much chance that I can actually reach them...