My only experience with paypal has been this: My husband went to the bank one morning to withdraw our house payment. He phoned me in shock. Our account had been drained. To make a long story as short as possible, my daughter's then-boyfriend had opened up a paypal account using identity theft, and charged a lot of stuff to our bank account. I won't go into how we found out it was him, but luckily, we caught it in time to get our money back.
The moral of this is, always lock up all your bank statements and other information. We had always kept that type of stuff in a desk drawer, and had never thought that a person we allowed to live with us was low enough to steal from us. It was a learning experience.