Gift
I personally don't use or request "Gift" as it is misleading and false if a transaction truly is not one. I started using the "Payment Owed" option ages ago as transactions are indeed a "payment owed', are they not..? As long as I use the link to my bank account - there are no add'l fees to me or the other party and PayPal makes out not having to incur a CC fee and in the float of 3-4 business days to deposit funds into my account. If they didn't make out here or somehow were being circumvented, I'd think they'd take steps to correct it.
To the original question, I don't know if buyer protection comes into play here and/or to what level..?
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