Surely a company as large as PayPal doing all that business via eBay can handle this problem.http://www.paypalsucks.com/
The biggest problem is that paypal really really really sucks when it comes to support. Basically if you have an issue all they say is:
you have an issue, guess what it is and fix it
Imagine submitting a form, and you get a reply: Sorry, information entered was not valid. You have been charged 10$. Please change to correct values and try again.
With absolutely no help as to WHAT is wrong. That really sucks.
Once this donation stuff is over, I will disable everything even remotely related to paypal. If we ever need to go through somekind of donation again, it will be through some other service with positively better reputation!
elias is working on something, which should go through - we will post a status update soon