I have used at paypal with no problem with a Mastercard debit card, but after activating 3-D secure on it I could no more use paypal with that card. This is true for Google checkout too. Also after it I could use my card online at other merchants who did not process the card only by Paypal or Google checkout. I mention here Jaguar Pc and Packt Publishing.
I had to get a new card for which I have not activated 3-D secure in order to able to use Paypal and Google checkout. From my experience Paypal and Google checkout have some problem with 3-D secure cards. Why is that?