Paypal never send emails about security issues. Like most banks etc they post issues on the home page as you log in.
That's worth noting, thanks.. 
I have received similar requests from banks, where I have not even had accounts for them 
If you are uncertain of an email, right click and check the properties of the sender, if still uncertain then delete it.
A big tell taale is when you get a request from a bank you dont belong to, annother tell tale is a reply address to a bank like HBS@yahoo.com (As if they would use yahoo)
Well this is from paypal

In email.....From: This sender is DomainKeys verified"spoof@paypal.com" <spoof@paypal.com>Add sender to Contacts
This when right clicking, on unopened, and looking in properties.
http://uk.mc864.mail.
yahoo.com/mc/showMessage?sMid=0&&filterBy=&midIndex=0&mid=1_92022_AHu8ktkAACOTSpBQTwILjF1KDJM&f=1
New message from them;
Hello MIKE FLOOD,
Thanks for forwarding that suspicious-looking email. You're right - it
was a phishing attempt, and we're working on stopping the fraud. By
reporting the problem, you've made a difference!
Identity thieves try to trick you into revealing your password or other
personal information through phishing emails and fake websites. To learn
more about online safety, click "Security Center" on any PayPal webpage.
Every email counts. When you forward suspicious-looking emails to
spoof@paypal.com, you help keep yourself and others safe from identity
theft.
Your account security is very important to us, so we appreciate your
extra effort.
Thanks,
PayPal