I set it up with only paypal payment method on virtuemart. When I try to check out, it shows "Please select a payment method" with "save" & "cancel" buttons. I clicked the "save" button, then it takes to check out page again.
Please change joomla template to a default one and check it then. Let me know if it works than or not and revert it back to our template. Then tell me an url of the site also.