ITunes won't recognize valid credit card in PayPal

When I try to add PayPal as my method of payment in iTunes, the PayPal Authentication page says, "Error Detected: This recipient requires that you have a valid funding source from United States in order to complete this transaction." I do have a valid credit card in PayPal. I've e-mailed both PayPal and iTunes several times and have received no helpful answers (canned responses only). Has anyone else had this problem?

I have e-mailed iTunes support more than 15 times in the last 2 months and they have not investigated this problem. Two of their responses asked me to reply with a phone number and time I can be reached, and I heard nothing by phone or e-mail after responding with that info.
My credit card in PayPal has a United States bank address and PayPal verified that it is valid.
I haven't found any workaround and am disgusted with iTunes web-based support. I don't believe a person is reading my issue; the support e-mails appear automated - with human touches - to respond to key words in my question but don't answer the unique nature of this issue.
Has anyone else received viable assistance from iTunes web-based support?

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