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Right, it's not true.

There may be confusion because a Premium subscription that does NOT explicitly cancel but instead just stops paying and continues to accumulate unpaid charges (such as land tier) will eventually need to pay-up in order to login again. This has been controversial for a long time because folks would prefer there be some ceiling on those accumulating charges after which the land is released and other recurring costs are no longer incurred. (This must happen now, too -- accounts with unpaid tier can't keep the land forever, can they? -- but maybe people want a lower, more explicitly stated limit on overdue balance.)

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Where did you here that? Qie is right that the account doesn't get cancelled i have know people who've claimed they couldn't keep up their tier the charges have racked up and they've been locked out of SL until the charges were paid. as long as you don't accumulate any 'debts' you won't get locked out and your account wont get cancelled unless you cancel it

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You will not lose your avatar. People that have to take a break then come back I have done this. If you cancel it will stop on the day you signed up for premium but make  sure you abandon your premium house first  before canceling. I had two accounts that had premium I did cancel one I never lost a avatar.

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