Paypal always says that they will cover you up to  $10,000.  I paid thru paypal for a Blackberry cellphone that was a registered ebay user.  I paid $250.00 for the phone.  Never received phone or money back.  Went thru Paypal resolution center thinking since I paid the money thru my Paypal account "NO PROBLEMS"  HA!!! They said that they could not reach the seller and that I they could not retrieve the funds.  WOW! was I ever shocked that was back in Dec 07, and still the case is closed and not able to retrieve funds.  Yet they state, they will cover you up to $10,000.  So what is the point of going thru paypal if you cannot receive your money back.  WHAT a rip-off