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I usually have no issues selling domains by paypal to established members here for example..... but is it safe selling them to people you don't know!? What happens if they try to screw you by filing a dispute? They may not change the whois etc.... & that's if Paypal even bother to go that far or if they would just find in favor of the buyer as I think their policy on non-tangible goods is a bit iffy.
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While I agree PayPal isn't the safest (it's easy for buyers to get their money back for non-physical items *and* they have recommended against it) the fees with other services (Moneybookers, Escrow.com etc.) are very high and aren't worth it unless the domain is in the mid to upper $xxx range minimum.
Sedo isn't a bad alternative, park it with them and you'll pay a flat 10% commission fee (which isn't bad compared to Escrow and Moneybookers, especially for lower-cost domains).
Thanks guys.... yeah I figured that I shouldn't use them. Usually use escrow.com in the past so will likely use them again as I know what to expect service wise....
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