You'll be best to ask these questions by logging out of this UK site, and into www.ebay.com
However, if you haven't used eBay for selling for a long time payouts are not sent to your PayPal account, (you can use PayPal to pay for items, maybe that what you were advised), but sent to a nominated bank account.
To sell now, you have to register for eBay's Managed Payments see here:
You need to provide eBay with details of a bank account and have this account verified. The usual method here, is for eBay to send 2 micro deposits into that nominated bank account for you to receive, and confirm to eBay.
Once this is completed, you will be able to list items for sale, and receive payouts from those sales.
This will show you how to register for eBay's Managed Payments.
https://www.ebay.com/help/help/selling/getting-paid/introducing-managed-payments-ebay?id=4795
If there is an issue with the registration contact eBay Customer Services, who have full access to your account, and can see where the issue lies and explain the steps you now need to take.
Contact eBay Customer Services this way, through their help pages.
https://www.ebay.com/help/home
Lines are open between 5 a.m. and 9 p.m. Pacific Time
@pmit2185