[crazychile]

I am thinking of requiring a US Postal Service Money Order, or a personal check w/ a hold until the check clears.

This is the way I always used to do it. It's cheap but takes a little more effort and time to complete the transaction.
 
Everyone got hooked on the convenience of Paypal. Once sellers start tacking on extra fees for buying with Paypal, maybe people will be more open to going back to Postal Money Orders.