Posters on these boards generally don't like Paymate, but i have used it as a seller and my customers were perfectly happy about it. I also had multiple bidders on auctions I used it for, so it didnt really turn anybody off.
What I would sayis that I don't use it for this account, being my business account, and I think if you are selling high priced items with low feedback it may make some people suspicious. Although, if your items are desirable enough, and phones probably are, they will sell anyway.
If you decide to use paymate, i would recommend making note of it in the listing so its not a surprise to your buyers. Something along the line of "I accept credit cards via Paymate" and maybe something explaining people don't need to sign up to an account to use it.
