Why does paypal need my address?

Question

Say if i buy something online that doesn't need to be shipped will paypal mail me anything? Do they ever mail your home with like monthly reports?

Answer 1

Many times when someone else is transferring money to your account, for example a payment for freelance work. They will need to know your resident status for tax purposes. For example if your address in Paypal is a US address, you will need to fil a W-2 form etc. for reporting to IRS.

That's a main reason why address is needed.  

Answer 2

No, they use your address to verify the bank information.  They check to make sure the address on the credit card or bank account matches the address you have given.  Just the same way as any other thing will ask for your billing address, PayPal does as well.  Its a protection measure.

I dont recall getting anything from PayPal in the snail mail, but...

Answer 3

they need to verify your information with the bank account or credit card

you use for funding the paypal account

thats when you see  notice say "verified paypal user"

and some sellers will not even sell to non verifier paypal buyers

even if it just online