I don't know if viable, but Finnish http://paytrail.com/ is also providing services like PayPal, only with (probably) better privacy. Too bad the privacy policy is written in finnish, but I can translate a few sections:

• They collect data improving their service, for statistics and consumer research and for marketing purposes. User can forbid all advertising directed at them
  
• All data is sent and stored encrypted to funding facility (Paytrail Oyj). Along with payment details Paytrail receives the subscriber's name, address, e-mail address, phone number and the product details of an order in question.
  
• The consumer data is either provided by consumers themselves or along with the order information from the systems of the seller of service or product.
  
• Data can be sent to law officials and companies of the same conglomerate within the limits permitted by law.
  Data can be sent to outside EU or ETA within the limits permitted by law.
  
• All data is appropriately secured electrically and the physical access is restricted and monitored. The usage of registers is restricted and can only be accessed with an username and password. The personnel of Paytrail Oyj and outside agents working for Paytrail Oyj are subject to professional confidentiality.
  
• Registree has the right to inspect the kind of data stored about them in the register and can make one free inspection request a year.

The privacy policy of Paytrail Oyj (in finnish):http://paytrail.com/sites/default/fi...ytrail_fin.pdf (maybe customer service can provide an english version?)

Relevant laws (in english):
http://www.finlex.fi/en/laki/kaannok...en19990523.pdf (Finnish law)
http://www.finlex.fi/fi/laki/kaannok...en20040516.pdf (Finnish law)
http://eur-lex.europa.eu/LexUriServ/...5L0046:EN:HTML (EU law)

Though I don't expect this to be of much use (probably not the best choice) I still went through it because I like this project and because there are never too many options to consider

EDIT: Looking at it more I don't know if the service is even usable outside Finland and Sweden... Nevermind then
EDIT2: They did provide such service for Jolla though, and as far as I know all of Europe had a chance to order... but that might've only been possibly due to collaboration with Invesdor and due to Jolla being a Finnish company. Don't know for sure.