An FTP account's Directory setting limits that account to the selected directory and its subdirectories. The FTP user cannot use symbolic links to escape that boundary.
The optional FTP quota limits how much data the FTP account can upload. cPanel notes that FTP quotas are not available when the server uses ProFTPD.
If uploads stop unexpectedly, check the FTP account quota and the cPanel account's overall disk usage. A generous FTP quota cannot override the hosting account's total storage limit.