If your PP balance is insufficient and you have it automatically funded by your credit card, you can still do a chargeback against your card. It has pros and cons. It's the last layer of a multifaceted defense. Avoid taking risks when buying from suppliers and hope you don't HAVE to do a chargeback.
I don't use escrow on a regular basis, but have used it a couple of times with some particularly suspicious sellers who had something I *really* wanted and was willing to take a chance. Usually, I opt to use my card first, so the seller can get their operating capital and I can get my goods quicker while still keeping my heinee reasonably protected.
I try to see it from the other point of view. If I was a supplier and a potential client always wanted the goods while expecting me to wait for payment, I'd say screw them. As an ebay seller, do you *like* to ship while PP holds your stash until delivery is confirmed or FB +'d? I doubt it. I know it never appeals to me. Somebody wants something, I want my loot. I figure when I want something, my provider wants their loot. No mystery there, right?
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