Just a little followup on how to pay for ebay items with a CC through paypal.

From either the auction itself or your my eBay area, select "Pay Now."

Then, from the "Review your Purchase" screen select the Paypal option at the bottom and then press "Continue."

Finally, during the "Complete your Payment" stage, select the "More Funding Options" in the "Payment Method" section and basically just follow relatively the same steps as you would when paying for a non eBay item (See steps in first post).

CCs through paypal are really no differently used when paying for an ebay auction. They will still draw from paypal funds first, the only minor caveat is that seller must accept paypal; which virtually all legit eBayers will.