For two years I tried to delete a credit card that had been terminated, Paypal continually blocked it by saying there were outstanding charges, which was not true. Then I sold an item on eBay and they said I had to give them my bank account information to sell an item. When I tried to delete the bank account they blocked the deletion saying that there were outstanding charges, not true. Then I indicated that when I bought something, Paypal was to use the credit card. Every time I changed it to the credit card, Paypal changed it back to the bank account. The last straw was when I ordered a product on line and used Paypal. I entered my current shipping address which was new two months ago. When the charge went thru Paypal changed the shipping address to the address I had moved from two months ago and the item was delivered to another state. When I tried to terminate the account it said that I had outstanding charges (not true) and it would not terminate the account. These people need t be investigated by the fed for fraud or just blatant incompetence.
Source: http://www.paypalwarning.com/payment-methods-dictated-paypal/