@As someone ...
I have always used PayPal since close to it's founding date and the one thing that people forget about PayPal is that it is NOT a bank. It never has been and I don't give a tw@t hair about where it's being incorporated as a bank.
It's. Still. Not. A. Bank.
What it DOES do passably well is work as a money transfer service. I think of them as the exchange broker that takes a cut any way they can but still gets the money to the other person. Of course recently their track record of doing just that is rather poor.
My PayPal account almost always has a zero balance in it. As soon as money comes in I take it out using the debit card and put it in my proper bank account. On the reverse I have it set to pull money from a separate checking account not my main one. This prevents freezing my main checking and prevents lost money in the PayPal account because there's nothing in there.
Paris because she knows all about proper servicing.