I have not used Paypal since I had to file a dispute over an item I bought on ebay via Paypal. As a response they snail-mailed me a bunch of screenshots of an internal web-app with a bunch of info for someone else, SSN, CC number, address, etc. Everything I would need to do something bad. I called them and they did not seem to care so I called the guy (I had his number of course) but he never answered or responded to my email.

A few months later I got a voicemail from paypal, apparently my original call bubbled up. They asked if I had destroyed the info and to let them know if I had not (I did). Then there was a long pause (I guess they assumed the voicemail was over), and it turned out there were 4-5 people on that call and they then discussed how the call went and whether or not it was sufficient to CYA.

I've not used it since, and I hoped they got their act together (sounds like maybe not).