We use both Paypal and 2checkout with our company. Paypal has always been my first choice. The reason being is we tend to see alot less fraud with it and it works well with our billing system.

Now 2checkout can be very good except for 2 things. The first one is their fraud checks are terrible. They will pass orders that are so apparent to be fraud that it almost pokes your eye out. We had to incorporate an additional system to do fraud checks.

The other downfall of 2checkout is that their reoccurring billing does not work with our billing system yet. I guess I can't hold that against them and maybe it should held against the billing system, but that is another downfall for us.

Aside from those 2 things 2checkout is not a bad way to deal with credit card payment.