PS: You might want to check with your bank to see if there is any additional information with the charge that doesn't show up on the statement (or online banking if you have that).

Unless they charge the $1.95 for foreign accounts, they should only pre-auth such validations, which means the money is held for 4 days or so and then it is settled by the bank if a settlement is required by the chargee (Paypal). If there is no settlement, the money is returned to the account like it never happened. Companies often use pre-auth's as validation of funds and/or the validity of the card. Also a lot of companies try your card and if it's found to be lacking in information (address doesn't match, etc), the money is held in pre-auth, which can suck if you are buying a $50 item and for some reason their credit card processor is refusing the card and it pre-auths $50 transactions that are held. Probably why some people get overdrawn because the statements that are sent monthly don't reflect that, and people don't realize it's happened. I didn't until I got online banking where I can check my account on the fly...I highly recommend if your bank has such a feature, to get it.