Ahh Paypal, I've had quite a few problems with them.
When your account is unverified the following restrictions are in place;
- You can only have a small amount of money, <$1000 I think.
- You cannot spend your money @ Retailers.
- You can only send money to people, not use it at online stores.
To verify your account do the following;
Go into your local bank and ask to open a bank account, then you should receieve some stuff through the post a few days later, this will include your sort code, account number and most probably a card, Solo is the most likely type.
When you have all this, log into your paypal account and select the verify option, it will take another 2 weeks from then before you can actually access all your money.
If you're desperate to spend your money, find somebody with a verified paypal account to do it for you; Send them the money and ask them to purchase whatever you want, because in reality if you don't have a bank account now you're looking at waiting around a month in total before you can access your funds.
If you need somebody to do what i mentioned above, PM me :)