I have a label for my custom payment method in the config.xml file. It looks like this:

    <default>
		<payment>
			<cashpayment translate="title" module="paygate">
				<active>1</active>
				<model>payments/cash</model>
				<order_status>1</order_status>
				<title>Cash Payment</title>
			</cashpayment>
		</payment>
	</default>

Unfortunately, despite 'translate' parameter the output in the front end is still 'Cash Payment'. I've updated translation file, flushed the cache but it didn't help. 
Any suggestions would be highly appreciated :)?