Understand that when you buy a domain name you really don’t own it but basically rent or lease it one year at a time. It’s yours to use but you don’t actually own it in the sense that you own your toaster or Star Wars Action Figures. The system is set up so you pay a few bucks a year, typically less than , for the right to use it.
At the end of the year you have the option of renewing your right to use the domain name or not. If you choose not to renew your registration it goes back into the pool of available domain names for anyone to pick and register themselves. Don’t get nervous, however, as most any domain name registrar you use will offer you the ability to automatically renew the domain name on a yearly basis which you can continue for as many years as you want to use the name.
There is the option of registering the name for more than one year at a time – for a few years or five or ten or more.
If you are purchasing a domain for your business, or for something that you know for a fact you want to keep for many years, it’s an option for you. If money is tight then it is possible to simply pay your now and then pay another next year and so on. If you come into some cash later on you can always extend your registration at anytime for any length of time into the future.
Keep in mind, however, there is some benefit with the search engines if you register a domain for a number of years. Google, Yahoo and the other search engines do factor this into their ranking algorithms. The thought is that someone who is willing to spend the additional money to register a domain name for more than a year is probably not a spammer or fly by night operation and therefore is worthy of some additional consideration.
As we all know time fly’s by and we tend to forget things.
Probably the biggest potential issue with accidentally losing a domain name is a change of credit card company or credit card number. If you, for whatever reason, close down the credit card that you bought your domain with make sure that you change your billing information at your domain seller. If you don’t, and your registration comes up for automatic renewal, the company will not be able to charge you for another year and put the name back into the pool of available
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