Money transferred in counts as 'payment received'?

[SeekTheTruth]

Hi, question from a business newbie here.  Please can anyone answer it for me?...

Q:  If I transfer e.g. say €500 into my new business PP account from my linked bank account, does it count as a 'received payment', thus (more importantly) reducing my current Receiving Limit by €500?

Reason for asking... Since it's a new unused account it still has the initial EU Receiving Limit of about €2500 in place.  I'm told by PP that:

"To comply with EU anti-money laundering and ‘Know Your Customer’ regulations, we’re required to collect and verify information about you.  We must do this before you receive €2,500 (or currency equivalent) into your PayPal account (in total) within a year of you receiving your first payment.

To ensure there is no disruption to you or your business, we’ll notify you of this requirement when you receive €1,800 (or currency equivalent) in total.  Once notified, you’ll have to complete a number of requirements to satisfy these regulations."

Now then, I certainly do not want to even begin trading in my new business with this limit still there.  PP would start the final verification process only once there's a mere €700 remaining on the Receiving Limit.  From all I've read, there are any number of potential hold-ups with verification.  If things take too long or go wrong then, I could quickly end up with the account limited, funds inaccessible and my business effectively on hold for heaven knows how long (I'm forced to use PP btw, as it's for eBay selling).  That could break me overnight!

So, as a precaution, I want to get this all out of the way first.  I already have my relevant docs ready to upload but have no way to submit them until I've received the first €1800.  It struck me that I could maybe kick-start the process by transferring that amount into the PP a/c from my linked bank a/c (then withdraw it later).  But of course, this could only work if the transfer counts as payments received and thus reduces the receiving limit.

After my (and others') experiences so far with contacting PP to ask them anything, I'd much prefer to ask here first, in the hopes that one of you happens to know the definitive answer.  Also, if this strategy is a no-go for some reason, could there perhaps be some other way I can achieve the RL being lifted before I commit to actually starting the business?

I don't want to break any laws or PP rules here, rather just to use any valid & fair mechanism available to get the limit and any problems out of the way in advance of trading. 

Thanks in advance for any help,

Paul.

[sharpiemarker]

@SeekTheTruth 

"Receiving" would be receiving money from other PayPal accounts. Not the adding of your own funds to your PayPal balance.  That limit is there to start you off in case you don't have a PayPal account and someone sent you money and you can accept it before filling in all your info but will eventually be asked to fill in the account info properly and verify your account, etc.

https://www.paypal.com/uk/smarthelp/article/how-can-i-remove-sending%2C-receiving-and-withdrawal-lim...

https://www.paypal.com/uk/smarthelp/article/what-is-my-receiving-limit-and-how-can-i-remove-it-faq20...

[SeekTheTruth]

Do you know this for certain, i.e. that a transfer in does not count towards the Receiving Limit?  And, if what you say is correct, then how could this help to prevent a money laundering activity, which presumably is the whole point of having the limits in the first place?

Surely any limits, in the absence of the final ID verification stage being completed at least, would need to prevent not merely illicit payments in respect of supposed goods/services ordered, but also cover such payments transferred directly into the account?  

If I was a launderer, I could apparently exploit such a weakness and ignore the RL etc by first just opening a false bank account, freely depositing my ill-gottens into there, then transferring large amounts into the PP account, then paying it out to anywhere I like?    However, if transfers in would reduce the RL, such exploitation beyond the initial RL limit would be thwarted.    

If it was very difficult/impossible to set up a dodgy bank account without the same checks for ID etc that PP conduct, I'd assume then there wouldn't even be a need to later verify identity, have initial limits imposed etc, since it should in turn be a given that the mere existence of a verified bank account (as per the requirement for all new accounts) could be taken as sufficient proof of identity, address etc, to ensure there could be no such ill intention.  

If conversely it was easy to get a dodgy bank account, the RL wouldn't be a barrier to a criminal, assuming you're correct, and neither would the other limits, up to their maximums at least.  The exploitation could then just freely go ahead.  

Sorry but this wouldn't make sense to me.

Also, I'm stuggling to understand how the RL is there in case I don't have a PP account and someone wants to pay me, as you say.  Even if that were correct, it wouldn't apply to me, since I already have the PP a/c.  I know I can already use my account and transfer, receive, send or withdraw funds, up until I breach any of those limits or have them increased/removed anyway.

Finally, I'm not sure why you included the links, since I already quoted the text from there (or similar) in my own post.  They didn't answer my question.  I'm all for increasing your Kudos count, but only if/when I feel sure you've answered my question fully & precisely.

Please correct me if I'm overlooking something here.  Apologies in advance for any misunderstandings on my part.