Both are almost same - both cards are accepted by an equally large number of merchants. If you already have one, its good to get the other, though its not necessary. If you find one store not accepting one of them, there's sure to be a similar store that accepts the other one.
Both are equally good, and you cant go wrong with either of them.
About Paypal, i cant understand what's wrong. Even though they do say they support MC, they reject the cards because MCs cant be loaded from paypal (and ask you to load a different visa/MC/AMEX...???). For what reason, i cant imagine...
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