Paypal is a scam.
Exactly this. Paypal isn't slightly dodgy, it's not just that some people got on the wrong side of them, it's a long con to extract cash from people.
They have locked and kept the funds of a very large number of legitimate people including charity funds.
If you deal with paypal they will rob you. It's just a matter of time.
+1
They'll lock your account just for receiving too much money...
I wonder if they make more money from fees or from keeping funds.
Your post just shows the utter ignorance most people have about Paypal.
They don't keep the money. At most they freeze it for 180 days, in case they close the account. After those 180 days they just send a check with the account balance to the address that the user registered with them.
If then user gave them a fake address and never get the check because of it is another matter.
If you're doing serious business why would you lie to them about your address in the first place?