Rightman - I am from Delhi India . I am verified paypal users with VCC from last 2+ years and didn't faced any problem till yet . But thanks for the notice for newbies .
There is nothing wrong as long as your ship is in steady waters. The problem surfaces when Paypal decides to authenticate your identity by asking for credit card statement as proof.
VCC is legal, i ever heard about it. I'm use it also and until now there is no problem.
Beside cc and VCC, some debit card is able to verify PP account, and the card called Payoneer.