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Re:Show HN: VPS Comparison – Automated tests to compare VPS ... by scrps on Tuesday May 02, 2017 @10:05AM (#14246380)
I encountered the same thing (also in 2017) with the addition that they wanted front and back scans of a government-issued ID as well.

Having to pay with a credit card before you can use paypal didn't earn them any points either. Suffice to say I did not go with Linode.

Re:Show HN: VPS Comparison – Automated tests to compare VPS ... by JohnTHaller on Tuesday May 02, 2017 @11:16AM (#14247040)
PayPal's fraud detection sucks, so I can definitely understand companies wanting to verify/charge a credit card directly before accepting PayPal.
Re:Show HN: VPS Comparison – Automated tests to compare VPS ... by joedicastro on Tuesday May 02, 2017 @04:04PM (#14250060)
Yes, probably is one of the reasons why they do those checks. I suppose also that depends a lot on the kind of plan that are you going to use, probably they do more checks for more expensive plans.