I added a new FTP account via CPanel, but i cant log in with it. I logged in with my master, and the FTP account that I created was made into a folder...is this normal? and how do I only give this ftp account limited access? like uploading, and thats it....thanks!!!!

When connecting you must use this kind of identity:

ftp: yourdomain.com
username: ftpusername@yourdomain.com
password: *****

Yes the folder should be the same name as your ftp username without the @yourdomain.com I don't think you can limit ftp usage, you may want to look in the control panel documents for more information. Hope this helps.

Why would it matter if you could only upload?

If you can upload, you know where the files are to download and I'm sure if you trust someone to upload they wouldn't delete.