diff --git a/config/environments/development.rb b/config/environments/development.rb
index 932c1ddc5..b76b3ffb4 100644
--- a/config/environments/development.rb
+++ b/config/environments/development.rb
@@ -57,9 +57,9 @@ Growstuff::Application.configure do
   config.after_initialize do
     ActiveMerchant::Billing::Base.mode = :test
     paypal_options = {
-      :login =>     ENV['PAYPAL_USERNAME'],
-      :password =>  ENV['PAYPAL_PASSWORD'],
-      :signature => ENV['PAYPAL_SIGNATURE']
+      :login =>     ENV['PAYPAL_USERNAME'] || 'dummy',
+      :password =>  ENV['PAYPAL_PASSWORD'] || 'dummy',
+      :signature => ENV['PAYPAL_SIGNATURE'] || 'dummy'
     }
     ::STANDARD_GATEWAY = ActiveMerchant::Billing::PaypalGateway.new(paypal_options)
     ::EXPRESS_GATEWAY = ActiveMerchant::Billing::PaypalExpressGateway.new(paypal_options)