I just had a horrible experience with paypal with a crook using my credit card through paypal. No I never answered any spam emails. Thankfully my bank was first to see the scam. Paypal saw it but did nothing to advise me. Horrible.
the problem is employees are not motivated. How much do they make? do they have medical coverage, pension plans, stock options, one year maternity leave,paternity leave, sick leave, job protection and good salaries? All of these are usually available with a good company, not with paypal or ebay. Good software engineers make $100000 + in Canada. Why would anyone want to work for paypal? The best ones won't anyways.
Therefore, the security and competency of paypal, will always be trashy just like ebay. Because they don't have the best people on board.