I second the debit card idea. You get the convenience of a credit card without the hassles of using paper checks. I just looked over some parts of PayPal's latest user agreement. Softriver's right. They reserve the right to "fine" merchants $500 USD or more for receiving payments for "Mature" category products, which they can define as pretty much anything they want. Apparently, they view these products/services in the same light as illegal gambling or selling heroin. I've never had any problems with PayPal's service. They've been a great boon for commerce on the internet and it's a shame that they've adopted these ridiculous policies. I don't know whether this has been an internal issue with them or if they've been pressured by some outside group or entity. Other reports and incidents I'm aware of lead me to believe that it's part of a larger movement. Whatever the reasons, I've become less and less happy with PayPal's business practices, no matter how convenient or useful they are. At this point, I've pretty well decided to close my account with them and let them know why. I would strongly encourage anyone else who is concerned about the way thing are going to do the same. Alternative payment mechanisms will not grow unless people use them. I realize that not using PayPal creates varying degrees of difficulty for people but the alternative is to simply support their actions with your money. That I will not do.

"Democracy is a pathetic belief in the collective wisdom of individual ignorance." - H. L. Mencken