I have the same issue so I try different amounts and it works for me, not sure if all persons got the same outcome. my example, I have $100 in Paypal balance, and you wish to transfer $100 it will only have one payment method which is credit card, and no paid by PayPal balance so I try to make the amount from $99 to $98, $97, $96, and finally if I put $95, the options "paid by PayPal balance" appear. so I was wondered if Paypal knows you know have sufficient amount to pay their fees (5% i guess?) so Credit Card will be the only options. maybe the solution was too late but hope others may find useful.
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