I use Paypal alot. No, they don't charge a fee to my knowledge to use it, although I have only used Paypal to send money, not receive, so not sure about a fee for all the options. I have never had a problem at all with PP, have used it for OPs as well as many other shopping sites. I think they will help you in the event of non-receipt of goods, although I have never had to use this option either. If you go to their site, you should be able to find help topics that cover any/all of your questions.