Correct Damien.

Was not listed on eBay either, hence Paypal not being an option.

You may have noticed I still only offer machines for local pickup only, but now if I get asked from someone interstate it's a polite no.

If they arrange someone to come and inspect the machine and collect then this may be looked at.

As a seller of an item you have the right to set terms of that sale.

Ebay is a law unto itself.
Sellers have no rights only buyers.
I have accepted Paypal for interstate buyers, if only to get the transaction over with quickly, there is a risk though they could put in a dispute and rip you off (and Paypal take their cut of the money).
One dude picking up something from me and wanted to pay Paypal in his IPhone when he picked it up - WTF?
I managed to convince him to pay in cash but I was lucky he didn't dig his heels on as Ebay would have supported him to use Paypal (why wouldn't they, they own Paypal and get more fees).
Remember only buyers can leave negative feedback, even if the sale doesn't go through.