Friend cant send me money - is it because I need to verify my identity?

[Grakkus]

Hi, ive got a friend who's trying to send me cash from his paypal to mine, but he says that he recieved a message stating "you didnt supply a working paypal address" - is this because I have this message that pops up every time I log into paypal:

PayPal is constantly working to ensure security by regularly screening the accounts in our system. We recently reviewed your account, and we need more information to help us provide you with secure service. We would like to return your account to regular standing as soon as possible. We apologize for the inconvenience.

What is the problem?

• (Date that I've removed): Before we can offer you certain products and services, federal regulations require that we collect specific information to verify your identity. This information includes your name, address, date of birth, and National Tax ID or Social Security number. We haven't been able to verify your identity using the information you provided, so we need some additional documentation from you.
  
  Until this issue is resolved, you'll be able to log in to your PayPal account but you might not be able to add money to it or use some of your account features.

  Now i know that i've had this on my paypal for some time and that its just standard for all paypal accounts to need to provide their photo id, proof of address and proof of SSN, but the real conundrum is that this is also listed in the resolution center:

  What can I do while my account is limited?

• send money
• withdraw money from your account
• receive or request money
• update your account information
• add or remove a card
• add or remove a bank account
• send refunds
• use PayPal logos in your auction listings or on your website

What can't I do while my account is limited?

• add money to your account

I didnt want to bother trying to provide a photo id etc because it was too much of a hassle, and according to this list, I could also still recieve money from others despite not providing this information, just that I cant add money to my account.  I thought "add money to your account" was refering to being able to add money from your attached bank account to your paypal, does it also mean you cant recieve payments from others? If thats true then why does it say that I can "receive or request money"?

Either way im going to eventually provide my info to resolve all these issues, but honestly I want to know why this happened in the first place. If I can't recieve money at all in any form at all until I provide proof of my identification then paypal should clearly say so.

[snowshoe]

All we do is suggest completing the verification process, at this point in time, you account is about useless.  As this is a member to member help group, we can't speak for what PayPal does or does not do.  What we can tell you is PayPal will allow a transaction or two go thru if your account is not verfied, after that, there' really not much you can do until you complete the process.

Financial institutions such as banks, credit card issues and 3rd party transaction processors such as PayPal are required by law to verify the identity of the person behind any and all Accounts into which money is collected.  This stems from the USA Patriot Act, Title III, Anti-money laundering to prevent terrorism where as institutions put into place reasonable steps to identify beneficial owners of bank accounts and those who are authorized to use or route funds through payable-through accounts.

[Grakkus]

thank you.