1.1) The Warning means that they can place additional limitations on July 16th but not permanently, they will only suppress new functionalities like sending refunds. 1.2) You can modify any information with your account temporary limited --your home address for example--, this won't cause any serious inconvenience. When PayPal says "additional changes" they means "violation or suspicious incoming payments or access". 2) You definitely can't change the account owner name, but you can add or edit the home address. If your friend lives in your country, you can add his address and then he will gain full access after sending proof. NOTE: Be sure your friend doesn't have a verified PayPal account already, otherwise both accounts will be permanently closed. ADDITIONAL) After you modify the physical address in this account, and send your friend's address and ID proofs, PayPal will be able to continue with the investigation. This doesn't mean that the account will be restored, remember that PayPal considers that the activity in this account violated their terms, so there's a possibility that they permanently limit it after all. If this happens, the person who submitted the ID document (in this case your friend) won't be allowed to use PayPal anymore, he won't be able to open a new account and get verified anymore.
... View more