A long time ago I was fund raising to help a friend pay for her ferret's super expensive surgery. I used donate and ended up with a closed account. Way I fixed it was I pulled out another credit card (I had already transferred the money to her account)used a different bank account and email... viola! new paypal account!

If you are set on fixing your old one... have you tried calling them? They're hold times are pretty long but most of the time the reps can help or atleast tell you that hey this is a lost cause.