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An expired domain isn't immediately permanent. For example at Namecheap you get 30 days after the domain stops working where you can renew at the normal rate, and it isn't actually auctioned off for at least 70 days. YMMV, it's a good idea to check your registrar's policy.
All of this depends on your missing the multiple emails telling you your card has been declined in the week before the domain expires.
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Agreed! But, it is still another thing to keep track of. I don't know about you, but I receive so many daily notifications of this or that going on with various digital services that it is easy to become complacent and overlook something. Using free email providers has its risks too, but it is unlikely one of the biggies will end your account as long as it is reasonably active. Gmail and maybe some others has an Inactive Account Manager you can set up to give trusted people access to your account if for some reason it goes inactive.