As far as I remember you have to get 3 paper checks before you get the option to change to getting direct deposit. Also for you to receive your first check you need to have 3 different payment card methods like paypal, visa, mastercard, american express etc.
I dont know, unless alot of paypal users have limited accounts and need to be verified to lift the limits on the amount of money they receive into their paypal account etc, many people might not have home phone to verify also. Possibly to much work involved send to each individual paypal account email address and the direct deposit into bank accounts works more automatic. Im just throwing ideas out here im probably wrong.
They only PROCESS Paypal payments, but they do NOT pay via Paypal. If you want to get paid to your PP account, then PayDotCom is the way to go
I wish they would pay with Paypal too :S It's annoying to wait and go through so many process to process the checks!