For large payments I will try not to accept Pay Pal, reason is if the customer is paying via credit card and if he is in malice, you will not be sure if he will not do a charge back. That would cost money and time for us. I will normally take bank transfer instead or Western Union where there is no risk of a charge back.
Of course, if the person is genuine and trusted, not saying $500, $5000 will also not be a problem. But how many of us know their senders so well and how many of us are so confident of our character recognizing abilities?
It all comes down to guy/company who is sending u money,if u know him or if he is trusted,u can accept paypal from him else look for alternative.