About nine months ago one of my clients bought a domain at "auction" run by Godaddy. Their auction terms included a 1 year renewal. Godaddy didn't renew the domain when he received it; Wouldn't have been a big deal but they also didn't allow renewal for a week afterwards "while the transfer took place". He set up automatic renewal and forgot about it.
Then, three months later, the domain came up for renewal. Godaddy failed to process the transaction once, failed to send him a notification e-mail, failed to send a second notification e-mail (The customer support rep confirmed that the e-mail notifications had failed in writing) and he lost the domain. It was promptly scooped up... By Godaddy. He had to buy it from them (rather, their shell company, "dan.com") again, for the same asking price.
It was a shitshow and there's an important lesson here: Never ever ever use godaddy. It's worth your time and money to switch immediately.