When a domain enters redemption it is a grace period that is allotted to renew a domain name after it has expired. ICANN has placed this “grace period” in place due to domain names inadvertently being deleted or expired.
This is handy, if you have forgot to renew a domain. If your domain is managed by InMotion Hosting, we renew domains automatically so you do not need to worry about it.
However, if a domain falls into redemption it can be quite costly to regain the domain. Most registrars charge a fee to re-claim a domain. While the initial cost of purchasing the domain may be low, domains in redemption can be retrieved at a slightly higher cost.
The cost for redemption (for the TLDs we handle) is $80. We also bill for a 1 year renewal at $14.99, so essentially the redemption fee is $94.99 total.
A domain will not fall into redemption immediately after it expires. 40 days after the domain expires and has not been renewed with the registrar it will be placed into redemption status. If the domain is renewed within the 40 day grace period you can avoid paying the redemption fees.
Domains stay in redemption for approximately 100 days. This allows the owner to re-claim the domain before it is released to the general public. After the 100 days in redemption the domain name can be purchased by the general public.
If you have further questions or need assistance please contact our support department.
Fore more information from OpenSRS, see this post about about OpenSRS redemption policies.