Why moving your 1and1 to namecheap?
Loyal customer of 1and1 will move their domain if credit card is about to expire and you have enough funds into your account. Advices is to deposit apart of your funding in namecheap so the time you want to transfer you have enough fundings to transfer your domain name because your domain name can only can be hold 30-day in Redemption Grace Period.
Namecheap deposit providers are googlewallet , paypal , creditcard and the bitcoin
If you cannot renew then your domain will be sold to domain investor providers.
Why moving your domain in namecheap because they have this one services that 1and1 doesn’t have which is you can make a initial deposit into your user account if the time you need to buy additional services. Deposit is important so you can always run your domain and hosting constantly without hassle. But it is best practice to separate your domain DNS to your webhosting account for your own protection if trouble comes.
While 1and1 only configure the setup the gateway payment credit card and paypal the time you need to pay.
What if your credit card will expire at the time your domain needs to be renewed ? What will you don ? It is best practice to always prepare ahead of time rather not to being prepared . It will only take 15 days grace period for your domain to be activated the time it will expire. I give allowance for another 15 days or 2 weeks so their is another ways when you failed to renew. This is call anticipation of domain protection before everything are just to late when the time you have enough funding to support your domain name. Thousands of quality domains are lost everyday due to failure to anticipate their domain assets.
Example if your mydomain.com expire August1, 2013 then the grace period is 15 days. The last day is August 29 ,2013 always make allowance otherwise your domain will be resell to another providers which is costly if you want to take back again.
Note: Prepare ahead of time rather not to being prepared