Some people say withdraw it all, some say leave some in there. I can only speak for what worked for me. Whenever I withdrew everything, I got limited around the $1000-$2000 mark. When I always left enough in there for about 3-4 refunds, I've been so far able to withdraw over $10000 without ever being asked for anything by PayPal. They have millions of accounts, they can't go ask documentation for every each one of them. It's based on risk. If you always withdraw everything, they're faced with the risk of you not being able to cover refunds. What if you sell things for $2000 and don't leave them anything for their safety? Of course they will limit you. I would do so as well. They can't give complete strangers thousands of dollars of free credit, so to speak.
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