Linden Lab Official:Do I need a credit card or Paypal? What if I don't have one?

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If you sign up for a Basic account, no payment method is required. You may select the Basic membership at no cost, which will give you full access to Second Life with no membership fees.

Without a credit card or a verified Paypal account, however, it's not possible to register or pay for a Premium level account, nor buy/sell Linden Dollars. L$ purchases, membership fees, land use fees and use of the LindeX exchange all require a payment method on file.

Additional Basic accounts (beyond a first account at any payment level) may be subject to a US$9.95 setup fee.