Anyone ever use Paypal for deposit?  An out of town provider is visiting and requires a deposit through paypal.  Anyone have experience, good or bad, with this method?  Just curious if anyone has been r/o by provider canceling trip after receiving deposit.

There are stories on the net with Paypal screwing people receiving money.  Basically, Paypal confiscated their $$.  You can find their stories using your favorit search engine.

People who send money through Paypal seem to not have many issues.  I've used it for EBay and similar purchases without problem.

I've recently read that one of the points people try to make about using Paypal for a deposit, is that you cannot loose your money because Paypal will refund it if the provider is a no show.

All I have to say about this is BS! Once that money is transferred the only way to get it back would be through a dispute with your credit card issuer.
I can imagine a conversation like this:

Q; What is your dispute?
A; I wanted an escort and she didn't show.
Q; So you didn't receive anything for your money?
A; She sent me an email and we talked on the phone.
Q; Oh, so you DID receive some of her time then didn't you?
A; Not in person.
Q; Doesn't her website state that all monetary transactions are for her time only?
A; Well, yes, but I expected to meet her.

We're sorry sir, but you DID receive some of her time. If you would like to receive a refund you must conact the person you sent the money to.

If I am wrong about Paypal' policy, please correct me.

PayPal has a dispute form, that if filed within 30 days, will be investigated. Of course it will be a "He said, She said" contract, but they are fair in their inquiries to both parties.IMO  I have found them to be much easier to deal with than most companies, but again YMMV...

http://theeroticreview.com/msgBoard/ViewMsgBody.asp?BoardID=12&SortBy=DateCreated%20desc&Search=paypal&SearchType=1&DayFrom=180&DayTo=0&Submit=Submit&Messageid=33244

I paypal'ed someone a deposit for an appointment...she didn't flake, but the appointment itself was another story...

PayPal itself is bad and to be avoided.  To get a "verified" account, you have to give them your bank account number, and to do any transaction you need to give them your credit card #.  There are tons and tons of stories about them cleaning out peoples bank accounts and then just blowing people off when they contest it.  Evidently its gotten better since Ebay took it over but I'd still be very hesitant before doing any business with them.

Thanks for the link. I've read other nightmares about them on usenet, can't remember the exact place though.
It just confirms my suspicions, yet again.

It isn't so much Paypal (although once payment is made not much chance of reversing a charge) as it is the seller of the goods. If the seller decides to keep the money and not deliver the goods or services, there is nothing you can do about it.

Also, it leaves a paper trail that many are uncomfortable with.