How does PayPal work?

[WarLocke]

I've been verified (where you give them the data for a bank account - typically checking - including account number) for four months now,

Whoops. Guess I'll have to get myself one of those 'bank account' thingymabobs first, then. I must be some evolutionary/societal throwback; I've always been a cash man.

The big reason that I got around to checking out PayPal today was this site. The prices were freaking amazing (strangely, they seem to have gone up about $8 over the course of the day...), and some of the posts in the thread that linked to it reported that they got their goods indeed, so it would seem to not be a fly-by-night operation...